For Israelis and Jews living abroad, purchasing a home in Israel is typically about more than a financial decision. It combines an economic investment with a sense of belonging, family ties and the creation of an anchor in a country that remains an important part of their personal identity.
Today, these two factors are creating an attractive opportunity for long-term investors. Following a period of price declines in parts of the market, Tel Aviv real estate may now offer investors an opportunity to enter the market at more favorable prices.
Why the Waterfront Continues to Attract Investors
In every real estate market, some properties derive much of their value from location, while for others, scarcity is a central part of their appeal. Waterfront properties are a prime example of this. New towers can be built and new neighborhoods developed, but additional coastline cannot be created.
This is one of the reasons why waterfront properties in cities such as New York, London, Miami and Sydney have maintained their position in the market over the years. In Tel Aviv, too, available land is becoming increasingly scarce, making the development of a new district on the city’s waterfront a rare urban development opportunity.
It’s All About Timing
In 2026, Tel Aviv finds itself at an interesting crossroads. The market has experienced a period of slowdown and price moderation, while land availability remains limited, the city continues to develop, new infrastructure is being introduced and demand for prime locations remains significant. For investors, this may be a timely opportunity to examine the market ahead of a potential recovery in prices.
For Israelis and Jews living abroad, the potential economic upside is accompanied by another consideration: owning property in Tel Aviv provides a tangible connection to Israel and can create a personal and family anchor for years to come.
A New District on the Waterfront
Sde Dov, currently being developed in northwest Tel Aviv, is one of Israel’s most significant urban development projects. Built on one of the city’s last major land reserves, the new district will include residential buildings, retail and commercial spaces, public areas, educational institutions, parks, cycling paths and direct access to the beach.
The combination of a newly developed district and a prime waterfront location is increasingly difficult to find in established markets, where most of the land close to the coast has already been developed.
At the heart of the new district, Hagag Group is developing FIRST Sde Dov, a residential resort designed by New York-based architecture firm ODA, in collaboration with Bar Orian Architects.
The project comprises a 45-story tower alongside three boutique buildings, offering a range of residences together with amenities and services associated with international luxury residential developments, including an infinity pool, wellness facilities, a lounge bar, residents’ lounge, cinema room, Kids Club and more.
For Israelis and Jews living abroad, the significance extends beyond the property itself. It can serve as a home during visits to Israel, a place to host family and friends, or a base for those considering dividing their time between Israel and their country of residence in the future.
A Property Managed for You, Even When You’re Abroad
One of the challenges faced by property owners who spend most of the year overseas is ongoing maintenance and management. At FIRST, residents can benefit from professional property management services, including preparing the apartment ahead of the owners’ arrival, maintenance, cleaning and arranging the property after their stay.
During periods when the apartment is not in use, owners may also utilize the management company’s services for short-term rental management, allowing the property to serve as a personal home during visits to Israel while remaining professionally managed when they are abroad.
Choosing the Developer Is Part of the Investment
For international buyers, the location of a property is only one consideration. When a purchase is made in a country where the buyer does not reside permanently, the developer’s experience, stability, ability to deliver complex projects and knowledge of the local market take on additional importance.
Hagag Group is one of the companies associated with the luxury residential sector in Israel and is behind a number of prominent projects across Tel Aviv. Its experience in development, planning and execution provides buyers living abroad with professional support and greater confidence throughout the purchasing process.
Benefits and Support for Those Considering a Move to Israel
For Jews considering making Aliyah, Israel offers a range of benefits and support through the Ministry of Aliyah and Integration, the Israel Tax Authority, the Ministry of Construction and Housing and other government bodies. Depending on individual eligibility, these benefits may include tax incentives, an absorption basket, housing assistance, Hebrew-language studies, professional training and support for establishing a business.
An Investment That Connects the Future, Family and Belonging
For Israelis and Jews living abroad, purchasing a home in Israel can be a decision that brings together several dimensions: an investment property, a place to stay during visits to the country and a family anchor for the future in a country that remains close to heart.
When that property is located in a new waterfront district, in one of Israel’s most sought-after cities where available land is becoming increasingly scarce, another element enters the equation: scarcity.
Ultimately, for an investor, the question is not simply what the property is worth today, but how it fits into the broader picture: the city’s development, land availability, demand for prime locations and the potential for the property to continue serving its owner and family for years to come.
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