Bibian Group Israel
Israel real estate market report February 2026
All Reports·Israel Real Estate Market Report

February 2026

February brought a seasonal slowdown in transaction volumes, as expected, but average prices continued their upward trajectory. The luxury segment — properties above $2M — proved particularly resilient, with days-on-market falling to a 14-month low.

Published February 28, 2026
14-month low

Days on market, luxury segment

Bibian Group's Take

"February confirmed something we've been telling clients for months: the luxury tier in Tel Aviv is effectively a seller's market. We had three listings receive multiple offers within 10 days. Buyers need to come prepared — pre-approved financing, clear decision-making authority, and a willingness to move fast."

— David Bibian, Founder & Managing Director, Bibian Group

Prices

Central Tel Aviv luxury apartments (4+ rooms, high floors) averaged NIS 68,000 per sqm in February, up 2.1% from January. The Rothschild Boulevard corridor saw the strongest appreciation. Herzliya Pituach villa prices remained flat at $3M–$6M for sea-view properties.

Demand Drivers

The Bank of Israel held rates steady at 4.5% in its February meeting, disappointing some buyers who had anticipated a cut. Despite this, mortgage applications rose 11% month-on-month, suggesting buyers are adjusting to the rate environment rather than waiting for relief. American buyer inquiries remained elevated.

New Launches

Two boutique projects in Neve Tzedek and one in the Old Port area launched pre-sales in February. All three reported strong absorption in the first two weeks. The Bat Yam waterfront corridor attracted its first institutional investor from Europe, signalling growing international confidence in the area.

Outlook

What to Watch Next

March typically marks the start of the spring buying season in Israel. We expect a meaningful pickup in both inquiries and closings. Sellers who have been holding off should consider listing before the summer slowdown.

Bibian Group

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