In 2026, the housing market in Israel experienced a significant slowdown, with the Israel Land Authority (ILA) reporting a sharp decline in the rate of land sales at auctions. Only 66% of the apartments in the auctions were successfully sold, indicating issues with land sales, primarily in peripheral cities. The new director of the ILA, Yehuda Eliyahu, is facing many challenges, including a future shortage of land for marketing and uncertainty about whether there will be potential buyers. Despite forecasts of population growth and demand, many citizens are choosing to leave the country due to high housing prices. The current situation may lead to price drops, but there are concerns that failed auctions will return at lower prices, which could complicate the construction market. Meanwhile, there is a large inventory of vacant apartments, but the high cost of living is preventing people from purchasing apartments at current prices. The current situation indicates instability in the housing market, which could lead to price increases in the long term.