How Does Land Ownership and Registration Work in Israel?

Before purchasing property in Israel, it is crucial to verify whether it is registered, where it is registered, and how the registration can impact you. The type of registration determines ownership rights, legal protections, and potential restrictions when selling or transferring the property.

In Israel, properties can be registered in different places, each with its own implications:

1. Israel Land Registry (Tabu)

This is the most authoritative and preferred registry for full private ownership (ba’alut), meaning the owner holds complete rights to the property without restrictions from the state. Properties recorded in the Tabu receive a Secher Rechush (land deed), an official document that serves as definitive proof of ownership and protects against disputes.

Land registered in the Tabu falls into two categories:

• Organized land – Ownership is considered legally indisputable (irrebuttable presumption of ownership), meaning no further proof is required.
• Non-organized land – Ownership can be challenged, requiring additional title searches to confirm legitimate ownership and resolve any potential claims.

2. Israel Land Authority

Nearly 93% of land in Israel is state-owned and leased to individuals on a long-term basis, typically for 49 years, with an automatic renewal for another 49 years. This leasehold ownership (chakira) is common in Israel and applies to many properties, particularly in urban areas. While the ILA (Minhal) manages these properties, the lease agreements and ownership transfers are recorded with the Tabu or the housing company managing the project.

3. Housing Companies

For newer properties or projects under development, registration may still be held with the developer or a housing company (Chevrat Meshakenet) rather than directly in the Tabu. In such cases, buyers receive an Ishur Zechuyot (certificate of proprietary rights) from the housing company. Unlike the Tabu, which is a public registry, housing company records are private, and only the company and property owners have access to them.

4. Church-Owned Land

Some properties in Israel, particularly in Jerusalem, are built on Church-owned land, where the Church leases the land to the State, which then subleases it to property owners. These leases can create legal complexities, especially regarding lease renewals and land rights upon expiration. Buyers must verify the lease terms before purchasing.

Special Considerations for Leasehold Property

If a property is registered under leasehold ownership (ILA or Church land), there are potential restrictions, including:

• Lease Transfer Fees – The government may require payment for transferring lease rights.
• Eligibility Restrictions – Non-citizens may be required to qualify under the Law of Return to purchase state-leased property.
• Lease Expiry Concerns – Buyers should confirm whether leases are renewable and what happens at the end of the lease term.

How to Verify Registration

While most land in Israel is designated and recorded, the actual ownership rights for apartments may not always be found in the Tabu. Older buildings (typically 10+ years old) are usually registered as a condominium with individual apartments listed as sub-parcels. However, in newer construction, only the land ownership may be recorded in the Tabu, while individual apartment rights remain in the developer’s private records.

Before purchasing a property, it is crucial to determine where it is registered—whether in Tabu, the ILA, a housing company, or another registry. Each type of registration affects the legal status of ownership, transferability, and potential restrictions.