What Doing Due Diligence Means
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What Doing Due Diligence Means

You finally did it! You have found that perfect apartment in Jerusalem that you have been dreaming about buying for years! 

Whether you are planning on using that apartment as a holiday home or to live full time, there are a few steps one must take before signing a contract.

One must take all necessary precautions to make sure this purchase is right for you. The due diligence process exists to protect buyers and help them make an educated purchase.

At any stage of this process in good faith if a problem occurs you can pull out. This is why it is essential to do all your checks before signing a binding contract.

What does it mean to follow due diligence in Israel? And how is it different from how it is in the USA?

Due Diligence in Israel

The main difference in practicing due diligence in Israel is that there are no contingencies when you buy real estate, meaning you must do all your due diligence before signing anything.

One cannot sign subject to mortgage or subject to condition of the apartment, which means all inspections have to be before signing.

The following is just a general guide to get an idea of what the process will look like. 

Your lawyer will be the one to tell you exactly which checks need to be done.


Finding the right lawyer is one of the most crucial parts of buying real estate. The best way to find the right lawyer for you is through recommendations from family and friends.

CapitIL Sale Director Ben Levene can also suggest a few lawyers if necessary, but make sure you get referrals from other clients. Once receiving a recommendation, speak with them and make sure you are comfortable with them in trusting them to guide you through making this purchase.

You must make an educated decision about who your lawyer will be, this should not be a light decision. What works for one person may not work for another, so it is a good idea to talk to a few different options, and select the one most suitable for you.

Lawyer’s Responsibilities

- Checking the Registration of the Apartment

- Reviewing all the documents

- Negotiate a contract

- Advise on all checks necessary to confirm this is a suitable purchase for you

- Guide you through the entire process

- When there are issues, they will explain them to you. Always listen to your lawyer carefully.

- Advise you to do checks via engineer/inspector


Because there are no contingencies, all inspections must be done before signing the contract.

Ben and your lawyer will strongly recommend hiring an inspector to make sure there are no big issues that would prevent you from making a deal.

The inspector will not pick up little things, only serious issues that would cost lots of money to fix and stop you buying the apartment or to protect you and help you negotiate a better deal.


Again, because there are no contingencies, financial or otherwise, one must be approved for a mortgage before signing the contract.

Ben and your lawyer will both want to make sure you are in the financial position to be making a purchase before signing the contract.


As you can see, due diligence before buying a property is a relatively simple but crucial process that involves many different people doing different roles.

That is why building up a team of professionals that work together efficiently is a significant part of buying real estate.

Your broker will be an influential member of this team, as it is their role to ensure all the moving parts are completed in order to make the deal go through.

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