Executive Summary
The Netanya real estate market demonstrated robust growth during the first half of 2025, with transaction volumes increasing by 15.3% compared to the same period in 2024. The average property price rose by 12.4% year-over-year, reaching ₪2,750,000.
As a prime coastal city strategically located between Tel Aviv and Haifa, Netanya continues to benefit from its Mediterranean beachfront, expanding business district, improved infrastructure, and strong appeal to both domestic and international buyers.
This report analyzes key market indicators, transaction data, and emerging trends across Netanya’s diverse neighborhoods for Q1–Q2 2025.
Market Overview
Netanya’s real estate market maintains strong momentum as the city evolves into a major coastal destination with international appeal.
Extensive waterfront development, urban renewal programs, infrastructure investments, and relative value compared to Tel Aviv have supported consistent price growth and strong transaction volumes.
Key Statistics (Q1–Q2 2025)
- Total Transactions: 2,568 (↑15.3% YoY)
- Average Residential Price: ₪2,750,000 (↑12.4% YoY)
- Average Price Per Square Meter: ₪24,600 (↑13.8% YoY)
- Average Time on Market: 52 days (↓17 days YoY)
- Mortgage Volume: ₪6.85 billion (↑19.2% YoY)
Residential Market Analysis
Transaction Volume by Property Type
| Property Type | Transactions | YoY Change | Avg. Price (₪) | YoY Change |
|---|---|---|---|---|
| Apartments | 2,145 | ↑14.8% | 2,450,000 | ↑11.6% |
| Penthouses | 118 | ↑21.6% | 6,850,000 | ↑16.8% |
| Villas | 156 | ↑12.2% | 5,950,000 | ↑14.3% |
| Garden Units | 123 | ↑16.0% | 3,250,000 | ↑13.7% |
| Duplexes | 26 | ↑18.2% | 4,150,000 | ↑14.9% |
Price Trends by Neighborhood
| Neighborhood | Avg. Price (₪) | YoY Change | Avg. ₪/m² | Time on Market |
|---|---|---|---|---|
| Beachfront (Cliff Area) | 7,850,000 | ↑18.6% | 46,800 | 38 days |
| South Beach | 5,950,000 | ↑16.9% | 38,400 | 41 days |
| North Beach | 5,750,000 | ↑16.2% | 37,200 | 43 days |
| Ir Yamim | 3,850,000 | ↑14.3% | 28,600 | 47 days |
| Kiryat Hasharon | 3,250,000 | ↑12.7% | 25,400 | 51 days |
| Ramat Poleg | 3,150,000 | ↑12.3% | 24,800 | 53 days |
| City Center | 2,450,000 | ↑10.4% | 20,300 | 58 days |
| Kiryat Nordau | 2,350,000 | ↑9.8% | 19,600 | 61 days |
| Dora | 2,150,000 | ↑9.1% | 18,200 | 64 days |
| Neot Herzl | 1,950,000 | ↑8.3% | 16,800 | 68 days |
| Netanya Heights | 2,850,000 | ↑11.8% | 22,400 | 56 days |
| Kiryat Sanz | 2,250,000 | ↑9.5% | 18,900 | 63 days |
| Southern Neighborhoods | 1,850,000 | ↑7.9% | 15,600 | 71 days |
| New Northern Development | 3,350,000 | ↑13.6% | 26,200 | 49 days |
New Development Projects
- Sea Opera Towers: 286 luxury seafront apartments, 81% sold, ₪42,600/m²
- Blue Bay Residences: 224 premium apartments, 78% sold, ₪39,800/m²
- Ir Yamim Expansion: 348 upscale units, 72% sold, ₪29,400/m²
- Poleg Heights: 186 garden apartments, 68% sold, ₪25,600/m²
- Marina View: 152 waterfront apartments, 85% sold, ₪41,500/m²
- Netanya Towers: 312 city center units, 69% sold, ₪21,800/m²
- Green Valley: 178 eco-friendly apartments, 73% sold, ₪23,900/m²
- North Shore Villas: 42 luxury homes, 76% sold, ₪6,250,000
- The Pearl: 96 premium beachfront units, 89% sold, ₪45,300/m²
- Kiryat Hasharon Gardens: 256 family apartments, 71% sold, ₪26,200/m²
Urban Renewal Projects
- 12 active Pinui-Binui projects adding 1,250 new units
- 28 active TAMA 38 projects adding 245 new units
- 6 major City Center Regeneration projects reshaping the downtown
- 4 major Industrial Zone Conversions to mixed-use properties
Commercial Real Estate
Commercial Transactions by Type
| Property Type | Transactions | Avg. Price (₪) | Avg. ₪/m² | YoY Change |
|---|---|---|---|---|
| Office Space | 93 | 3,850,000 | 18,600 | ↑16.2% |
| Retail Space | 127 | 4,250,000 | 22,800 | ↑13.4% |
| Hospitality | 48 | 6,850,000 | 28,400 | ↑26.3% |
| Mixed-Use | 36 | 5,250,000 | 24,600 | ↑20.0% |
| Industrial | 22 | 2,950,000 | 8,200 | ↑10.0% |
Notable Commercial Developments
- Netanya Business District Expansion (38,000m²)
- Promenade Commercial Center (22,500m²)
- Tech Park Netanya (24,000m²)
- Boutique Hotel District (32,000m²)
- Ir Yamim Commercial Hub (18,500m²)
Investment Analysis
| Property Type | Rental Yield | Capital Appreciation | Total ROI (Annualized) |
|---|---|---|---|
| Apartments | 3.4% | 11.6% | 15.0% |
| Penthouses | 2.9% | 16.8% | 19.7% |
| Office Space | 5.6% | 12.8% | 18.4% |
| Retail Space | 6.1% | 11.9% | 18.0% |
| Hospitality | 7.3% | 17.5% | 24.8% |
Foreign Investment
- 36% of all transactions in H1 2025
- Leading demographics: French (42%), Russians/Eastern Europeans (18%), North Americans (16%), UK buyers (14%)
Tourism and Second Home Market
- 68% of beachfront buyers motivated by rental income
- 8.2% average short-term rental return
- Average foreign part-year residence: 83 days/year
- Short-term rentals achieving 86% rental premium in peak seasons
Market Drivers and Trends
Positive Drivers
- Beachfront development
- Transportation improvements
- Expanding business center
- Rising international tourism
- Strong foreign investment
Challenges
- Infrastructure strain
- Seasonal demand variations
- Affordable housing pressure
- Rising construction costs
Market Outlook
Q3–Q4 2025 Forecast
- Price appreciation 10–12%
- Transaction growth 13–15%
- Rental growth 12–14%
- Continued foreign buyer interest
Long-Term Projections
Netanya will continue its transformation into a leading Mediterranean destination, benefiting from infrastructure upgrades, economic development, and increasing international demand.
Special Feature: Netanya’s Changing Demographics
- Growing French, Russian, and Anglo communities
- Religious neighborhood expansion
- Young families seeking affordability in the south
- Retiree communities developing healthcare-focused projects
Rental Market Analysis
- Avg rent: ₪6,850 (↑15.6% YoY)
- Rental yield: 3.4%
- Most expensive area: Beachfront at ₪15,800/month
- Corporate rentals and short-term rentals expanding rapidly
Methodology
Data Sources:
- Israel Land Authority
- Netanya Municipality
- Real estate agencies
- Mortgage providers
- Construction permits
- Tourism accommodation surveys
- CBS data
Period: January 1 – April 26, 2025
Sample Size: 2,568 residential and 326 commercial transactions
About the Author
Prepared by offplanisrael, a leading Israeli real estate analysis firm.
For customized insights, contact [email protected].
Disclaimer: This report is for informational purposes only and does not constitute investment advice. All information believed accurate but not guaranteed.
