Buying as a Foreigner

Can Foreigners Buy Property in Israel?

Yes — and with no restrictions. Israel is one of the few countries in the world that places no limitations on foreign nationals purchasing real estate. Here is everything you need to know.

Your Rights as a Foreign Buyer

Purchase residential, commercial, or agricultural land (subject to specific regulations)

Own property in freehold (full ownership) or leasehold

Rent out your property and receive rental income

Sell your property at any time and repatriate proceeds

Inherit property or pass it on to heirs

Apply for a mortgage from Israeli banks (typically up to 50% LTV for non-residents)

Purchase Tax

Tax Rates at a Glance

Buyer TypeRateNote

First purchase (non-resident)8%On the full purchase price

If you own property in Israel already8%On the full purchase price

Israeli resident — first home up to ₪1.98M0%Exempt bracket

Israeli resident — first home ₪1.98M–₪2.34M3.5%On the amount above ₪1.98M

Capital gains tax on sale25%For non-residents; exemptions may apply

Tax rates are subject to change. Always confirm current rates with your attorney before completing a transaction.

Practical Advice

Tips for Foreign Buyers

Appoint an Israeli attorney early

Your attorney is your most important partner. Choose one who specialises in real estate transactions with foreign buyers.

Open an Israeli bank account

While not strictly required, an Israeli bank account simplifies fund transfers and is often required by sellers.

Understand currency risk

Transactions are often priced in USD but settled in NIS. Consider hedging strategies if the transaction timeline is long.

Budget for all costs

Beyond the purchase price, budget for purchase tax (8%), attorney fees (0.5–1%), agent commission (2%), and registration fees.

Verify the title deed

Always verify the property's title (נסח טאבו) through the Land Registry before signing any agreement.

Get Expert Guidance

Speak to a Bibian Advisor

Our team has guided international buyers from over 20 countries through the Israeli property market. We make the process straightforward.