Frequently Asked Qustions about
Buying Property in Israel: Part 1
You asked, we answered!
We have received many great questions pertaining to the process of buying property in Israel and have decided to compile a list of answers to provide value and clarity.
Please feel free to submit more questions for Part 2 in a few weeks!
Can foreigners buy property in Jerusalem, Israel?
Yes, they can! But they have to pay a higher purchase tax than residential first-time buyers.
Where is the cheapest real estate in Jerusalem?
The prices for real estate on the outskirts of Jerusalem in areas like Givat Mordechai or Tzomet Pat tend to be much lower than the main areas of the city. Both are about a 20 minute drive from Katamon/ the German Colony.
Do you need a real estate license in Israel?
Yes. Read more information about how to obtain a real estate license in Israel.
Do you pay property tax in Israel?
Yes. Property Tax in Israel is a Municipal Tax known as Arnona.
What fees can be expected when buying a home in Israel?
Aside from the obvious expenses such as furniture and appliances, there are various fees that are associated with purchasing property in Israel.
These major costs and fees should be thought about ahead of time in order to budget properly and avoid running into issues later down the road.
How much would we pay to a real estate broker in Jerusalem?
The Broker’s Fee is 2% + Ma’am (sales tax).
Can I buy an apartment in Jerusalem without seeing it?
You absolutely can purchase a home sight unseen, and this is something we have helped clients do in the past, and more recently during the pandemic.
Which area in Jerusalem has the best schools?
Jerusalem offers many different kinds of schools to its residents throughout the city.
We often see Anglo families choosing schools in the areas of Katamon, the German Colony, Rehavia, Arnona, or Baka.
Which area in Jerusalem has the best shopping?
There are several malls throughout Jerusalem, ranging from large, upscale shops and classy cafes to smaller shopping centers with only supermarkets, kiosks, and some activities.
What is the most up-and-coming neighborhood for Anglos in Jerusalem?
In recent years, we've seen a big uptake in English speakers looking to buy or rent in Arnona, due to the more budget-friendly prices, easily accessible bus routes, and plenty of nearby activities/ attractions.
How do I know if I am getting a good deal?
Make sure to use a realtor you trust! Check them out and ask for references. Always bring an engineer to check a property before signing the contract.
What is the first thing to do when considering buying in Jerusalem?
Assemble a team and work out your finances. Your mortgage broker will help you with financing, and your real estate broker will show you properties within your budget.
Who pays the bills when renting a long-term apartment?
The renter pays water, electricity, Arnona, and gas in nearly all cases.
How long after buying a property do sellers vacate?
General handovers are from 3-6 months.