At the Calcalist and Mizrahi Tefahot Bank Real Estate 2025 Conference, which dealt with the question of whether price declines and the decline in demand in the housing market are a continuing trend or a temporary correction, Dan Parnas, CEO of Carasso Real Estate, participated in a panel of industry leaders.
Parnes explained that the weakness in sales in Tel Aviv and throughout the country requires a long-term view: "The impact of interest rates ended in 2024 and we saw good demand. Regarding interest rates, it is already clear that the trend is creeping downward." According to him, the decline in sales during 2025 was not limited to Tel Aviv but was observed throughout the country, and was mainly due to families' fear of committing to long-term loans in the current interest rate environment.
As for the future, Parnes presents an optimistic approach: "We have already seen pent-up demand for all sorts of reasons in recent years, and I believe that this time too — at the latest in the second half of 2026 — demand will return to the market." This assessment is consistent with the strategy of Carasso Real Estate, which operates mainly in the heart of Tel Aviv, in areas where supply is inherently limited and long-term demand is maintained.
The panel also included Assaf Simon, CEO of BST Yazoom, who referred to the importance of growth engines in the north and the periphery and the opportunity created by Nvidia's arrival in the region; Dan Menachem, partner at the Reality Fund, who defined the current decline as a healthy correction after years of increases; Ruth Apriat, director of the business division at the Israel Land Authority; and Yael Salomon, VP of Infrastructure at the Planning Administration, who emphasized the importance of the metro project and infrastructure in the long term.
Dotan Levy's full article was published in Calcalist .
