Story perspectives

Mortgage Defaults Rise, But No Crisis in Sight

1/25/2026

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Summary

Story summary

According to Mizrahi-Tefahot Bank data, Vice President Shevy Shemer says cancellations are under 0.5% and reflect adjustments, not a crisis.
Most cancellations occurred in large projects with low-priced apartments, and developers often resold these units.
The market is moderating, with regional price variations.
Mortgage defaults increased, but the overall default rate improved, signaling no systemic crisis.
Many clients of subsidized developer loans repay early or refinance, suggesting stability.

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Story summary

According to Mizrahi-Tefahot Bank data, Vice President Shevy Shemer says cancellations are under 0.5% and reflect adjustments, not a crisis.
Most cancellations occurred in large projects with low-priced apartments, and developers often resold these units.
The market is moderating, with regional price variations.
Mortgage defaults increased, but the overall default rate improved, signaling no systemic crisis.
Many clients of subsidized developer loans repay early or refinance, suggesting stability.