Israel Real Estate: Unsold Apartments Surge as Sales Slow Down in Lod and Major Cities
Israel's real estate market faces a growing inventory of unsold apartments alongside a sales slowdown. Jerusalem and Tel Aviv lead the major cities, while mid-sized cities like Lod struggle with high unsold stock.
The Israeli real estate market is presenting a complex picture: on one hand, a slowdown in apartment sales, and on the other, an increasing number of unsold apartments. However, there are also figures that not everyone tells you about: an unsold apartment is defined by the Central Bureau of Statistics as an apartment that has been granted a building permit.
Data from August 2026 and Major Cities
Data for August 2026 revealed the scale of new apartments remaining for sale across the country. Construction sites continue to operate, and contractors continue to build, while tens of thousands of apartments remain unsold. The big question is where the inventory is the largest.
A review of the geographical distribution of unsold apartments in major cities with over 100,000 residents yields fascinating findings. Jerusalem leads the table, presenting the highest supply of unsold apartments in Israel with 10,249 new apartments left for sale. Closely following it is Tel Aviv, where 9,820 new apartments are up for sale—an unprecedented figure indicating a broad supply of projects alongside a persistent slowdown in the pace of closures in Israel's most sought-after and expensive cities. In third place stands Bat Yam, with 4,992 new apartments not yet sold, followed by Haifa, Ramat Gan, Netanya, and Petah Tikva.
The Situation in Mid-Sized and Small Cities
CBS data also points to medium and small cities. Among the cities not counted in the major cities list, Lod stands out with an inventory of 3,010 new apartments remaining for sale. In Kiryat Gat, there are 2,930 unsold apartments, and in Yehud-Monosson, 1,670 apartments remain.
In Yehud and Lod, fewer than 150 apartments were sold recently. These are two cities suffering from a significant market slowdown.
If fewer than 150 apartments were sold in Lod in three months, meaning a very low pace, yet there are 3,010 apartments for sale, it means inventory is extremely high—5 to 10 times higher than demand. This says a great deal about the local market and what is expected to happen in Lod in the coming months.
