The average price of an apartment in Israel reached 2.24 million NIS in the third quarter of this year, a 7% increase compared to the average price from the same period last year. Where can you still find 4-room apartments for under 2 million shekels, and which city saw the sharpest rise in apartment prices?
By Doron Broitman, Nadlan Center
Average apartment price in Israel
The average price of an apartment in Israel stands at 2.24 million NIS as of the third quarter of this year, according to data from the Central Bureau of Statistics (CBS) published last Friday. This represents a 0.4% decrease from the previous quarter and a 7% increase from last year.
The average price for a 1-2 room apartment is approximately 1.5 million NIS; for 2.5-3 rooms, it’s about 1.75 million NIS; for 3.5-4 rooms, it’s 2.2 million NIS; for 4.5-5 rooms, it’s 2.8 million NIS, and for 5.5-6 rooms it’s 3.4 million NIS.
Regional price breakdown
Looking at the data by district, the Tel Aviv district has the highest average apartment price at 3.23 million NIS, a 4.25% increase from last year. Following that is the Central district with an average price of 2.72 million NIS (a 7% increase), Jerusalem district with 2.66 million NIS (a 1.2% increase), Haifa district with 1.8 million NIS (a 13.5% increase), the Southern district with 1.54 million NIS (a 6.6% increase), and the Northern district with the lowest average price of 1.45 million NIS (a 7.5% increase).
Price breakdown by major cities
Among Israel’s major cities, Tel Aviv continues to lead in apartment prices, with an average price of 4.86 million NIS for a 3.5-4-room apartment. Next on the list is Herzliya, where a 3.5-4 room apartment costs 3.53 million NIS, Ramat Gan at 3.33 million NIS, and Kfar Saba and Jerusalem at around 3 million NIS for the same size apartment.
Only three cities have 4-room apartments under 2 million NIS
Out of 18 cities for which data was provided (with populations of over 100,000), only three towns offer a 3.5-4 room apartment for under 2 million NIS. In Be’er Sheva, the price is 1.31 million NIS; in Ashkelon, it’s 1.67 million NIS; and in Haifa, it is 1.87 million NIS.
Sharp price increases in certain cities
An analysis of the year-over-year change in the average price of 3.5-4-room apartments reveals that Holon saw the highest increase at 13.8%, with the current average price for such an apartment at 2.41 million NIS. Other cities with high price increases include Netanya (up 13.3%, with a price of 2.69 million NIS), Ramat Gan (up 13.2%, with a price of 3.33 million NIS), and Bat Yam (up 12.7%, with a price of 2.87 million NIS).
