According to the Central Bureau of Statistics, 5,638 homes were sold in Jerusalem in 2025, compared with 5,159 in Tel Aviv. Together, the two cities continue to dominate national activity and account for a significant share of overall housing supply.

In total, approximately 91,000 real estate transactions were completed across Israel in 2025. While activity adjusted compared to the previous year, volumes remain well above 2023 levels, reflecting steady underlying demand.

One of the key trends last year was the gap between new and second-hand homes. About one-third of the homes sold in Jerusalem were new apartments, while in Tel Aviv nearly half of all transactions were new construction. Buyers continue to evaluate opportunities carefully, particularly in the new development sector.

After Jerusalem and Tel Aviv, Haifa and Beersheva ranked third and fourth in transaction volume, highlighting continued activity across major urban centers.

At the same time, the supply of new apartments has grown, especially in Jerusalem and Tel Aviv. For buyers, this expanded inventory creates more options and negotiating power. For developers, it reflects continued investment and long-term confidence in Israel’s strongest markets.

Jerusalem’s rise to the top of the sales table reinforces its growing role as both a residential and investment destination. Even in a more measured market environment, demand in Israel’s leading cities remains strong and active.

Source: Arik Mirovsky, “Jerusalem overtakes Tel Aviv for homes sold,” Globes – Israel Business News, February 12, 2026.
https://en.globes.co.il/en/article-jerusalem-overtakes-tel-aviv-for-homes-sold-1001534888