Two-bedroom apartments in Tel Aviv have experienced a significant increase in demand and prices, despite a decrease in the total number of transactions in the market. In recent years, small apartments have become an attractive option for diverse audiences, including young couples, downsizers, and investors, due to high housing prices and difficulties in financing larger apartments. A study conducted by the Land Appraisers' Office found that the average price for two-bedroom apartments rose by about 17% between 2024 and 2026, while the number of transactions in Tel Aviv more than doubled. However, the construction starts for small apartments have decreased, indicating an imbalance between demand and supply. Developers are adjusting their projects to include more small apartments, especially in areas with high accessibility to public transport. The market indicates a shift in the buyer profile, with more older and younger individuals interested in purchasing small apartments in central locations, further enhancing the attractiveness of this product in the real estate market.