"2026 is a year of stagnation, this is what will happen in 2027": The surprising forecast of Yaakov Atrakchi
Aura has launched a campaign for Hever members. The big question: will this cause the company to sell hundreds of apartments in the short term? Yaakov Atrakchi explains in an interview what is about to happen in the market, why buyers should take advantage of the situation, and when prices will return to rising.
The number of real estate transactions has been declining in recent months. In March and April, contractors struggled to sell apartments; starting in May, a slight and gradual recovery was recorded, and yet, according to the current rate of apartment sales, it is not certain that 2026 will be better than its predecessor.
Recently, contractors have launched campaigns and financing benefits with the goal of selling apartments. Banks allow them to lower the price up to a certain limit so that the project has economic feasibility, and therefore they use financing benefits to sell apartments. Did the Banking Supervision limit contractor loans? Contractors found a "bypass route" and subsidized the mortgage. Everything has a solution and it is all a question of price.
Yesterday, Aura launched a new campaign. It decided to reduce the price in five of its projects through Hever. In our estimation, this is a reduction of up to 10% of the apartment price. The company sold 291 apartments in half a year, and it wants to increase its sales pace in the remaining half year.
"What we have done in the last two years is amazing - 5 campaigns for the security forces," says Yaakov Atrakchi, owner of Aura, to ice. "We are expanding the Hever campaigns, with the campaign intended only for the security forces. If you follow our campaigns - you will not see celebrations. It is true that the market is weaker and we are compromising and helping. People in the security forces - this is the audience that needs to be helped. When you do a Hever campaign, you have no costs. It involves five projects, it is good for both sides. In Ofakim, in Hadera - everywhere, there is a variety here for different audiences."
In our estimation, this is a discount of up to 10%. That is a lot.
"When you look at the Hever member discount, you get a great deal. We will sell hundreds of apartments during this period."
On one hand, this erodes profit, but on the other hand - your developer profit is higher in the urban renewal market.
"If you look at Aura's reports, we are at a prefix of 20, meaning over 20% developer profit. I am not ashamed of this, on the contrary. Urban renewal is a nice slogan, but there are companies that lose money, year after year. And now, until the end of the year, this is the opportunity for buyers. When the elections are over, everything will look different."
What is happening at the Israel Land Authority (ILA)? They are not marketing lands.
"In all of 2026 there is almost no land for high-density construction. A shortage will be created next year, the interest rate will drop, the war will be behind us. I think this is an excellent period, because these opportunities will not return. We as a company want to sell, that is our job. In less good periods, you give a discount. In better ones - prices will rise. I do not enjoy price increases, as far as I am concerned they can remain stable."
What will happen to housing prices?
"The Governor claims he is going to lower the interest rate two more times. People whose repayment is decreasing and whose rent has risen too much will buy apartments. At the beginning of 2027, the change will begin. Prices will stabilize and rise. The state has stopped marketing lands and therefore this is what will happen. Investors in Tel Aviv will take more time, but those improving housing will return, and in a big way, in 2027. 2026 is a year of stagnation."
