In order to incentivize municipalities to increase residential construction, the government recently issued a bill to raise the property tax (arnona) levied by local authorities on residential areas by 2% annually over the course of ten years. The current residential property tax averages at NIS 49 per square meter – an amount that does not...

Your real estate asset in Israel may be recorded to be of varying sizes, depending on the assessment institution and the method they might choose to apply. The size of a particular apartment may be different in the building construction permit, the owners’ land registration in “Tabu” (Israeli Land Registry), and the local municipality’s data...

Israel’s real estate tax laws allow new immigrants to save a fortune when buying a home in Israel. Buyers may be considered “Israeli residents” for the purpose of the transaction — even if they immigrate up to two years later, and may be eligible to reduced purchase tax, among other tax benefits. Foreign residents, however,...

According to recently drawn up regulations, in order to hand over a new apartment from a contractor to a buyer, electricity and water connections must be approved by local authorities and an occupancy permit should be granted. At the time of the transfer, both the contractor and the buyer, or their representatives, must be present...

Many homebuyers in Israel, in particular those from overseas who are unfamiliar with the local market, chose to work with real estate agents. Before viewing a property, buyers should be asked to sign a written services agreement, compulsory under Israeli law. An intermediary who does not make sure to do so will not be entitled...

Every year, during the month of January, Israel Tax Authority publishes new thresholds for Mas Rechisha (Purchase Tax in Israel) according to the Central Bureau of Statistics Home Prices Index for the previous year. The Mas Rechisha or Purchase Tax 2021 thresholds are updated annually, in mid-January, with consideration for the Home Prices Index of...

When purchasing a second-hand home in Israel, it is customary for the purchaser’s attorney to conduct negotiations with the vendor’s attorney by discussion, exchange of correspondence, and drafts of the contract of sale which reflect each party’s concept of how the transaction should be structured. The following is a selection of some of the more critical issues that a purchaser’s attorney will address during the process of a second-hand transaction:

The municipal property tax in Israel, known as “Arnona,” is levied by the local authorities in order to finance their activities and services. It is calculated according to a variety of parameters, including the purpose of the building, its size, the socio-economic status of the neighborhood, and more. These variables can result in an enormous...

The Greek Orthodox Church owns hundreds of acres of valuable land in downtown Jerusalem, on which thousands of apartments are built. In the last few years, the Church has begun selling land owned by various Christian denominations to private companies. This is a cause for serious concern for both the residents and Israeli authorities. In...

 The purchase tax (known as Mas Rechisha) imposed on property in Israel has been significantly reduced for second homeowners and non-residents buying in Israel, in order to encourage activity within the local real estate market during the Corona crisis. The decision by the Minister of Finance, Israel Katz, was approved by the Knesset on August...