Some apartments in Jerusalem cost between $500,000 and $700,000, while others can reach 2.5 million or 3 million shekels (about $820,000 to $900,000). Rents range from 5,000 to 8,000 shekels a month, according to accounts from a researcher and city residents, adding to the financial pressure on young Palestinian families.
Rent consumes most of the family’s income
Majed Badran, 30, has been living with his wife and three children in his father’s home since his own house was demolished in May. He says he has been searching for a home for months but faces monthly rents ranging from 5,000 to 8,000 shekels.
Badran’s income ranges from 8,000 to 10,000 shekels (about $3,000), which he says is not enough to cover the rent alongside education, food, clothing and other expenses for a family of five. Some landlords also require him to pay several months’ rent in advance.
Construction costs and fines
Building Badran’s former home cost more than 350,000 shekels ($114,000) in 2018, while fines and costs linked to building violations exceeded 80,000 shekels ($26,000) before the house was demolished. His father’s home also faces a demolition case scheduled for November, further limiting the family’s housing options.
Rasem Obeidat, a researcher specializing in Jerusalem affairs, says the housing crisis intersects with the cost of marriage and the difficulty of obtaining building permits. Licensing procedures can take years and require substantial expenditures, while property prices exceed the means of many young families.
Planning restrictions reduce housing supply
UN reports indicate that Palestinians in East Jerusalem face significant restrictions on planning and development, while a shortage of land designated for Palestinian construction has contributed to overcrowding and worsened the housing crisis. About 170 Palestinian structures in East Jerusalem were recorded as demolished from the start of 2026 through August on the grounds that they lacked permits.
Obeidat says the designation of land as green or open areas, along with planning and permit restrictions, narrows residents’ construction options and pushes some young people to build without permits, exposing them to fines and the risk of demolition.
Seeking homes outside the city
Housing costs are pushing some young people to seek more affordable homes outside the city’s boundaries, a trend whose demographic and social repercussions Obeidat warns about. Badran says he is also worried about his children’s future and their ability to remain in Jerusalem, given the limited and costly alternatives.
