Press Release The Residential Property Price Index (RPPI) – Third Quarter 2025
Stability in the Real Estate Market
The Palestine Monetary Authority (PMA) has released the results of the Residential Real Estate Price Index in Palestine for the third quarter of 2025([1]). The overall index showed relative stability compared to previous quarters, recording a slight increase of 0.71% compared to the previous quarter of the same year, reaching 107.5 points ([2]). This is consistent with the performance of the sub-indices. The house price index rose by 0.82% to 107.6 points, while the apartment price index remained stable at 107.4 points. On an annual basis, the overall index declined by 0.5% compared to the third quarter of 2024.
There is no doubt that the characteristics of properties offered for sale remain a key factor in determining their price. During the third quarter of 2025, data showed that 57% of the residential apartments offered for sale in Palestine were new, with an average area of 160 square meters. The results also indicated that approximately 54% of these apartments included one or two bathrooms, while nearly two-thirds had three bedrooms, in addition to a balcony.
As for houses offered for sale, the average area was approximately 251 square meters, with about 62% being newly built. The data further showed that around two-thirds of these houses featured three or more bedrooms and more than three bathrooms.
It is worth noting that property prices are not solely affected by internal specifications; several other factors play a key role in price determination — most notably, the price of the land on which the property is built, the geographic location, and the nature of the surrounding neighborhood.
Figure 1: Residential Property Price index in Palestine (point)
Source: PMA (October, 2025), Residential property price index in Palestine. Third Quarter 2025.
2018 Q1 =100.
Table 1: Residential Property Price index in Palestine (point)
|
Period
|
Apartments
|
Houses
|
Overall
|
|
Index
|
Percent change (%, q o q)
|
Index
|
Percent change (%, q o q)
|
Index
|
Percent change (%, q o q)
|
|
2023
|
Q2
|
105.4
|
1.45
|
113.6
|
-2.16
|
110.3
|
-0.80
|
|
Q3
|
105.2
|
-0.15
|
111.2
|
-2.16
|
108.8
|
-1.38
|
|
Q4
|
104.2
|
-0.95
|
110.3
|
-0.81
|
108.0
|
-0.72
|
|
2024
|
Q1
|
106.5
|
2.14
|
111.0
|
0.67
|
109.3
|
1.21
|
|
Q2
|
106.3
|
-0.11
|
110.1
|
0.79-
|
108.7
|
0.54-
|
|
Q3
|
106.1
|
0.19-
|
109.3
|
0.80-
|
108.1
|
0.57-
|
|
Q4
|
106.3
|
0.10
|
108.4
|
-0.79
|
107.6
|
-0.46
|
|
2025
|
Q1
|
106.4
|
0.16
|
107.5
|
0.80-
|
107.1
|
0.44-
|
|
Q2
|
106.9
|
0.42
|
106.7
|
0.79-
|
106.8
|
0.34-
|
|
Q3
|
107.4
|
0.55
|
107.6
|
0.82
|
107.5
|
.071
|
Source: PMA (October, 2025), Residential property price index in Palestine. Third Quarter 2025.
2018 Q1 =100.
([1]) The RPP Index represents the overall trend of the average prices of apartments and houses in Palestine. For more information about the methodology, please see the working paper “Residential Property Price Index for Palestine”, PMA 2021 published on the PMA website, www.pma.ps.
([2]) The data does not include Gaza Strip due to the ongoing Israeli attack, since October 2023.
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