Can A Foreigner Buy Property In Israel?

Buying a home is a dream come true for many people. Since buying a new home is a big financial investment, it often requires years of saving. People who decide to buy a new home invest their time in figuring out the market, finding the perfect property, and checking out different houses that suit their needs. It is clear that buying a new home is a great deal and it is one of the most important decisions that you make in your life.

When it comes to buying a property in a foreign country, many people do not know the correct procedures, especially if it is in Israel. The Israeli real estate market is very complex and the real estate law in the country are very different from the laws in the US.

In this article, we will take a look at how a foreigner can buy a house in Israel.

Can Non-Israeli Buy Property In Israel?

As we all know Israel is the land of immigrants and every year thousands of Jews return to their homeland from all around the world. People who are returning to Israel look forward to buying property in Israel and establish their future. The main question they are asking is whether they could buy property in Israel. Fortunately, non-Israelis can buy properties in Israel.

The main difference in buying a property in Israel as an Israeli and a foreigner is the tax difference. If you are an Israeli citizen, you do not have to pay tax for up to a value of NIS 1.6 million. For value up to NIS 5 million, Israelis have to pay 5% tax. If the value is approximately NIS 17 million, then the tax will be 10%. According to Israeli real estate law, if you are a foreigner buying property in Israel, then you have to pay 8% as tax for value up to NIS 5 million.

Where To Buy Property In Israel?

Before you decide to buy a house in Israel, you need to decide where in Israel you want to live. The housing prices are much different in each city of Israel. You should note that Tel Aviv and Jerusalem are very expensive cities to live in but they have some of the best schools, universities, and hospitals in the country. If you have a lower budget, it is often recommended to buy property in small cities of Israel.

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