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srael's housing market suffered its worst June in over two decades, with sales plummeting due to the ongoing conflict and tighter lending rules. According to figures from the Finance Ministry, just 5,844 homes were sold nationwide last month, a 29% drop compared to June 2024 and down 13% from May. This marks the lowest sales figure for June since the early 2000s.

    Newly built units saw the steepest decline, with only 1,954 sold in June, representing a 46% year-on-year fall. Analysts attribute this slowdown to both the uncertainty caused by the war and a cooling market following stricter regulations from the Bank of Israel. The bank's cap on "20-80" payment plans has reduced demand, as buyers are now required to pay more upfront.

    Unless security conditions improve and financing rules ease, housing sales may remain sluggish through 2025, warn market observers.