Some Tel Aviv home prices falling sharply, study finds
A study by real estate appraiser Dr. Assaf Gastfreund finds that home prices in two central Tel Aviv neighborhoods have fallen significantly since 2023, with Rova 3 seeing a 23.3% decline and Rova 4 a 7.75% decline in median price per square meter. The study examined 371 second-hand apartment deals and segmented prices by size, noting that in real terms the erosion is even greater due to inflation.
A new study by real estate appraiser Dr. Assaf Gastfreund reveals that home prices in two central Tel Aviv neighborhoods have fallen sharply since 2023. The study examined all second-hand apartment deals in Rova 3 and Rova 4 (Old North) between January 2023 and mid-July 2026, totaling 371 transactions. In Rova 3, the median price per square meter dropped 23.3%, with consecutive yearly declines. In Rova 4, the decline was more moderate at 7.75%, though prices rose about 1% between 2024 and 2025. The study segmented prices by apartment size: in Rova 4, 60-80 sqm apartments saw the largest drop (14.8%), while 40-60 sqm fell 5.8%. In Rova 3, 40-60 sqm apartments fell 15.8%, and 100-120 sqm units dropped 27.5% (though with limited data). Very small apartments (20-40 sqm) showed price increases but with few deals. The study used median prices to avoid distortion from outliers and excluded new apartments to reflect true market values. Dr. Gastfreund notes that in real terms, considering inflation, the erosion of value is even more significant. The findings align with broader national trends, as the Central Bureau of Statistics reported a 1% monthly decline in May 2026, the largest in eight years.