This study explores the implementation and impact of prefabricated housing systems on the traditional building practices in three distinct Palestinian cities: Hebron, Nablus, and Ramallah. As urbanization and population growth exert pressure on housing demands, the adoption of prefabricated construction methods has become a noticeable trend, potentially challenging the long-standing conventional building practices deeply rooted in Palestinian culture and history. The research employs a mixed-methods approach, combining on-site observations, interviews with architects, engineers, and local residents, as well as an analysis of construction data and cost comparisons. The investigation focuses on understanding the drivers behind the adoption of prefabricated housing systems, assessing their architectural and cultural compatibility, and evaluating their economic and environmental implications. Preliminary findings suggest a rising interest in prefabricated construction in the study areas, attributed to factors such as speed of construction, cost-effectiveness, and the ability to address housing shortages. However, challenges arise concerning the preservation of cultural identity, as traditional Palestinian architecture is deeply connected to historical and social narratives. The study aims to identify key areas of tension and synergy between traditional and prefabricated building systems, shedding light on the evolving architectural landscape in Palestine. Furthermore, the research investigates the environmental impact of prefabricated construction compared to traditional methods, exploring issues such as energy efficiency, material sourcing, and waste generation. This analysis contributes to the ongoing global discourse on sustainable building practices, particularly in regions facing unique socio-political challenges like Palestine. The outcomes of this research aim to provide valuable insights for policymakers, urban planners, architects, and the local community. By understanding the dynamics between prefabricated and traditional building systems, stakeholders can make informed decisions that balance modernization and cultural preservation, ensuring a sustainable and resilient housing future for the Palestinian people.