Best Airbnb Markets in Israel (2026)

Based on Airbtics data from January 2025 to December 2025, this page shows the top Airbnb locations to invest in Israel with key statistics and information, like short-term rental regulations, number of listings, occupancy rate, average daily rate, and annual revenue. This allows you to discover the most profitable cities to invest in, buy, and own Airbnb rental properties in Israel.

The Airbtics Market Score indicates how attractive a location is for investing in an Airbnb rental property. We determine this score based on the following criteria:

  1. Short-term rental yield: The ratio between annual revenue and property price, as a percentage. Locations with higher Airbnb rental yield score better.
  2. Short-term rental regulations: How STR-friendly the local Airbnb rules and laws are. Markets with more lenient regulations get a higher score.
  3. Market size: The number of Airbnb listings. Larger vacation rental markets get a higher score as it is easier for investors to buy and sell properties.
  4. Growth: How fast the market is becoming saturated. Priority is given to markets that are already developed but are not approaching saturation yet.
  5. Seasonality: To what degree Airbnb performance is affected by seasonality. Less seasonal impact is preferred as investors can enjoy a more stable short-term rental performance throughout the year.
Learn more about how we collect the data and accuracy

Last updated: February, 2026

Israel Short-Term Rental Market Overview (Full-Year 2025 Analysis)

National averages across all Israel markets
Average Occupancy Rate i
54.67%
Average Annual Revenue i
₪155,938
Average Daily Rate (ADR) i
₪769
YoY Supply Growth i
22.92%
YoY Revenue Change i
27.51%

Top 3 Israel Cities for Airbnb in 2026

Position Market Grade Market Name Regulation No of Listings Avg. Occupancy Rate Avg. Daily Rate Revenue Short-term Rental Yield Rent Gap
1CTel aviv
Lenient
4,09258%₪712₪153,91612.3%34.5%
2C+Jerusalem
Lenient
1,78960%₪765₪171,14112.3%34.5%
3BEilat
Lenient
1,29646%₪830₪142,75612.3%34.5%

Find the Best Airbnb Markets with Our Interactive Tool

Use our interactive Market Explorer to find the best places to start an Airbnb in Israel. Compare multiple markets side by side, apply filters like regulations, budget (property or rent prices), and market size, and even export the results to Excel.

Explore Interactive Tool

📊 Want a deeper dive into Israel's STR market?

Explore our comprehensive 2025 Short-Term Rental Market Report for Israel, featuring detailed market trends, supply analysis, and year-over-year insights.

View 2025 Market Report

Why Invest in Airbnb Israel in 2026?

In recent years, Israel has emerged as one of the best locations for investing in short-term rentals thanks to its popular tourist attractions, thriving business activities, growing digital nomad presence, and vibrant cities like Jerusalem, Tel aviv and Eilat. With millions of international visitors coming each year, the demand for vacation rental accommodations is growing, making Airbnb Israel a lucrative option for both local and foreign investors.

Due to strong demand from travelers, Israel offers competitive average daily rates (ADR), healthy occupancy rates, and attractive revenue potential in the best Airbnb markets. Whether you're looking to start your first Airbnb business with a modest budget or to add a luxury short-term rental property to your portfolio, Israel has a profitable location to meet your budget and aspirations as an investor.

Market Saturation Analysis: Israel

Benchmark: Markets are categorized relative to Israel's national averages (Supply: +22.9%, Revenue: +27.5%). Markets above the national average are marked with ↑, while those below are marked with ↓.

🟢

Healthy Growth

Supply > avg, Revenue > avg
Expansion with demand keeping up

  • No markets in this category
🟡

Early Saturation

Supply > avg, Revenue ≤ avg
Competition rising

  • Eilat Supply: +27.7% | Revenue: +21.1%
🔵

Under-the-Radar

Supply ≤ avg, Revenue > avg
Hidden opportunities

  • Jerusalem Supply: +18.9% | Revenue: +35.9%
🔴

Declining

Supply ≤ avg, Revenue ≤ avg
Risky markets

  • Tel aviv Supply: +22.1% | Revenue: +25.6%

Top 3 Best Places for Airbnb Arbitrage in Israel

  1. Eilat
    • STR revenue: ₪142,756/year
    • Rent gap: ₪12,539
  2. Jerusalem
    • STR revenue: ₪171,141/year
    • Rent gap: ₪11,354
  3. Tel aviv
    • STR revenue: ₪153,916/year
    • Rent gap: ₪8,131



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