Hamas leader Yahya Sinwar was killed by tank fire that targeted a building he was inside after Israeli soldiers and Hamas members exchanged fire on the streets of Rafah Wednesday, according to the Israel Defense Forces.

Two of the Hamas members were killed by IDF soldiers in the exchange of fire before a third Hamas member ran into a building. Israeli forces then sent a drone into the building for surveillance, which they used to determine that the third Hamas fighter was still alive inside.

The IDF then used a tank to fire at the building, "eliminating" the person inside, the IDF said. The IDF did not get Sinwar's body and positively identify him until Thursday.

Sinwar was found with a handgun and documents that are also being analyzed, the IDF said.

-ABC News' Dorit Long

President Joe Biden is now on his way back to the U.S. after wrapping his day in Berlin meeting with Quad leaders, saying there is a “possibility” of working toward a cease-fire in both Lebanon and Gaza.

"We think there is a road to peace there,” Biden said before boarding Air Force One in Berlin, but cautioned that "it's going to be harder, it's going to be difficult."

"There's an opportunity, in my view, and my colleagues agree, that we can probably deal with Israel and Iran in a way that is -- ends the conflict for a while."

He said there’s also a "possibility of working towards a cease-fire in Lebanon," but it will be "harder in Gaza."

Biden also said he understands what Israel will do regarding a retaliatory strike against Iran and when they will respond, though he did not reveal any of the options or timing.

A reporter asked, "Do you have a good understanding right now what Israel is going to do in response to Iran's Oct. 1 attacks and when they will actually respond to Iran?"

"Yes and yes," Biden said.

-ABC News' Justin Ryan Gomez

National security communications adviser John Kirby called Hamas leader Yahya Sinwar’s death an "inflection point" in this war, providing a new opportunity to reach a cease-fire deal.

"So Hamas is in a much, much, much weakened position than it ever was before," Kirby told reporters in Berlin, where he is visiting alongside Joe Biden. "The president believes that certainly with Sinwar's killing yesterday, that there's a unique opportunity here for us all to kind of grab hold of to see what we can do to end the war and to get a cease-fire. And we still believe that a cease-fire, actually in the north too, but we still believe a cease-fire is important for Gaza to get those hostages home."

When pressed by reporters on what makes the White House so confident that Sinwar's death truly does open the door to achieve a deal that had not been possible for months, Kirby said that it's a "unique opportunity" to take the intensive diplomacy to the next level. Kirby also explained why it was difficult to negotiate with Sinwar.

"Every time his political advisers would -- we would negotiate with and through them to come up with a proposal, it would have to get to him," Kirby said. "Of course, that took time because of the communications challenges, and then he would just, he would just refute it and refuse to move forward."

-ABC News' Michelle Stoddart

President Joe Biden met with German Chancellor Olaf Scholz on Friday afternoon to discuss the war in Ukraine and security threats in the Middle East.

Ahead of that meeting, Biden called Israel’s killing of Yahya Sinwar "a moment of justice."

"He had the blood of Americans, and Israelis, Palestinians and Germans, and so many others, on his hands," Biden said. "I told the prime minister of Israel yesterday, let's also make this moment an opportunity to seek a path to peace, a better future in Gaza without Hamas."

-ABC News' Justin Ryan Gomez