Gross rental yields in Israel: Tel Aviv and 4 other cities

The average gross rental yield in Israel stands at 2.83% (2023, Q3).

  • Tel Aviv
  • Jerusalem
  • Haifa
  • Beer Sheva
  • Ra´anana
  Last Updated: Aug. 30, 2023
TEL AVIV-YAFO - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Center  
Studio $724,269 $1,443 2.39%
1-Bedroom $944,335 $2,229 2.83%
2-Bedroom $1,305,678 $2,674 2.46%
3-Bedroom $1,735,644 $4,596 3.18%
Tel Aviv-Yafo (all locations)  
Studio $668,556 $1,365 2.45%
1-Bedroom $877,480 $2,006 2.74%
2-Bedroom $1,176,937 $2,424 2.47%
3-Bedroom $1,532,108 $3,203 2.51%
4+Bedroom $1,922,099 $4,016 2.51%
Tel Aviv-Yafo avg. Rental Yields 2.54%
JERUSALEM - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Jerusalem (all locations)  
Studio $389,991 $835 2.57%
1-Bedroom $665,770 $1,337 2.41%
2-Bedroom $682,484 $1,644 2.89%
3-Bedroom $835,695 $2,103 3.02%
4+Bedroom $1,309,255 $2,730 2.50%
Jerusalem avg. Rental Yields 2.68%
HAIFA - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Haifa (all locations)  
1-Bedroom $264,636 $807 3.66%
2-Bedroom $359,349 $933 3.12%
3-Bedroom $501,417 $1,253 3.00%
4+Bedroom $821,767 $1,671 2.44%
Haifa avg. Rental Yields 3.05%
BE´ER SHEVA - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Be´er Sheva (all locations)  
1-Bedroom $194,996 $613 3.77%
2-Bedroom $231,209 $696 3.61%
3-Bedroom $306,421 $871 3.41%
4+Bedroom $480,917 $1,226 3.06%
Be´er Sheva avg. Rental Yields 3.46%
RA´ANANA - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Ra´anana (all locations)  
2-Bedroom $754,911 $1,754 2.79%
3-Bedroom $1,125,403 $2,034 2.17%
4+Bedroom $1,323,184 $2,507 2.27%
Ra´anana avg. Rental Yields 2.41%
All yields are gross - i.e., before taxes, repair costs, ground rents, estate agents fees, and any other costs. Net yields (what you´ll really earn) are typically around 1.5% to 2% lower.
Source: Global Property Guide and Madlan
Israel´s Historic Rental Yield Data

Research Methodology: To conduct this research, we searched for studio, 1-bedroom, 2-bedroom, 3-bedroom, and 4-bedroom apartments in the largest cities of Israel. We used the local website for both buying and renting prices to determine the average gross rental yields (Monthly Rent x 12 / Purchase Price).

For instance, if the monthly rent is $500 and the purchase price is $100,000, the calculation would be: $500 (Monthly Rent) x 12 / $100,000 (Purchase Price) = 6% (Gross Rental Yield).