Who are the foreigners investing in real estate in Israel?

The Israeli real estate market attracts many foreign investors, representing between 12 and 18% of annual transactions according to estimates.

This figure varies depending on economic fluctuations, current regulations, and the geographic areas concerned. Certain cities, such as Tel Aviv and Jerusalem, concentrate a large proportion of these acquisitions, due to their economic, cultural, and historical appeal.

But who are these foreign buyers investing in Israeli real estate?

1. Americans: a strong attachment to Israel

A significant portion of foreign investors come from the United States, particularly from the Jewish diaspora, which maintains strong cultural and historical ties with Israel. These buyers favor dynamic urban areas, where they find both an attractive living environment and good real estate profitability.

The top destinations for American investors are:

  • Tel Aviv: A cosmopolitan city and major economic center, where real estate demand remains strong.

  • Jerusalem: an emblematic place, prized for its history and religious symbolism.

  • Haifa and the coast: with cities like Netanya and Herzliya, appreciated for their pleasant living environment and investment opportunities.

These choices reflect a desire to combine quality of life, development potential, and proximity to suitable infrastructure.

2. Russian and ex-Soviet investors: a marked presence

For several decades, buyers from the former USSR, particularly from Russia and Ukraine, have emerged as key players in the Israeli real estate market. This trend is explained by the existence of well-established Russian-speaking communities and a search for economic stability.

Their acquisitions are focused on:

  • Tel Aviv, where several neighborhoods already have a strong Russian-speaking community.

  • Jerusalem, particularly in areas where community networks are present.

  • Haifa and its surroundings, offering a high quality of life and suitable infrastructure.

  • Coastal cities like Netanya and Herzliya, prized for their quality of life and economic dynamism.

Russian-speaking investors therefore favor areas combining security, suitable services and financial opportunities.

3. Europeans: between investment and second home

Europeans, particularly the French and British, also have a strong presence in the Israeli market. Attracted by the market’s stability and rental potential, many see it as an opportunity to diversify their assets or acquire a second home.

Popular destinations include:

  • Tel Aviv, for its economic attractiveness and dynamic living environment.

  • Jerusalem, for its historical and cultural heritage.

  • Coastal cities like Herzliya and Netanya are ideal for vacation homes.

  • Haifa, which combines modern infrastructure and a pleasant setting.

European investment in Israel is thus based on a heritage logic, between long-term valuation and quality of life.

4. Other nationalities in search of opportunities

In addition to the main categories of investors mentioned above, the Israeli real estate market also attracts buyers from other backgrounds:

  • Canadians and Australians, often from the diaspora, seeking to secure their heritage.

  • Asians, particularly Chinese, Singaporeans, and Indians, attracted by the market’s stability.

  • Middle Eastern investors, although their presence remains more discreet for geopolitical reasons.

  • Latin Americans, who are beginning to take an interest in the Israeli real estate market to diversify their investments.

Even if their share remains more modest, these profiles contribute to strengthening the international dimension of the Israeli real estate market.

A popular real estate market despite fluctuations

Despite economic fluctuations, Israeli real estate remains strongly attractive to foreign investors. Its economic stability, urban dynamism, and deep cultural ties make it a preferred destination for many buyers seeking a secure and profitable investment.

Whether for a second home, a rental investment, or a long-term financial opportunity, Israel continues to attract an international audience, making its real estate market a constantly evolving sector.

Latest posts