The main issue when buying property - where, how and in whose name it is registered. The first step is to check the documents of property registration, which show whether there is in this apartment any encumbrance in the form of previously taken mashkant (outstanding loans for the purchase of an apartment), liens, arrest, debt, warrants on the demolition and other restrictions, and whether the apartment belongs to those who sell it.
Israel has taken to legal counsel, which examines all these issues and represents the interests of the buyer. The cost of a lawyer 1,5% of the value of the property.
Depending on where the registration of the purchase procedure for re-registration to the buyer is different, because the legal regime of the organizations conducting the registration, can not match.
Under the laws of the State of Israel, every transaction in real estate must be accompanied by a contract of sale in writing.
Law does not stipulate the signing of any other documents apart from the treaty itself.
But in practice has spread the signing of preliminary agreements, referred to as Zichron Devarim. Zichron Devarim is a preliminary contract for the sale of apartments or other type of real estate. That he had full legal effect, it must include the following information: names of the parties, the cost of the apartment, its description, date of installation, etc. purchase agreement (called a "generic contract") which will be signed after the preliminary contract, cancels a preliminary agreement .
After checking the right to sell ownership of an apartment attorneys are beginning to consider the possibility of payment terms. Usually, though not necessarily, the amount of down payment is 10% of the purchase price.
At the conclusion of the transaction the buyer pays the money without actually getting anything - no physical possession of property, or re-registration of his name. After signing the agreement (literally the same day or, if the contract was signed in the evening, the next morning), the purchaser with all documents should contact the Office of the recording of real estate (Lishkat rishum mekarkein). There's a special book will make a record - a warning note (earat az'ara). This cautionary note would deprive the seller's right to make a real estate deal, contrary to the warning note.
After the main payment is re-flat (in the Bureau of Registration of Real Estate - a taboo, or where the apartment is registered). The last cash payment only after receiving your (physical) keys to the apartment. Made to the last installment paid for by check. Amount of last payment (payment) can fluctuate between 10-30% of the purchase price.
When buying a new home directly from the construction company has a different procedure of registration, as the right to property will be issued to all tenants only after the introduction of all the tenants. Initial registration of property is issued a construction company and can hold approximately 2-3 years. Until then, the document proving the right to property is a contract of sale.
It is important to emphasize that this description is general and may vary depending on the particular transaction.
 Additional costs citizens of Israel or of another state, buy property in Israel, must pay tax on the purchase of real estate (wt rehisha).
Tax depends on the amount of purchased property.
The calculation of purchase tax on first apartment differs from the calculation of purchase tax on second apartment.
Tax on Buying Your First Apartment:
0 NIS. to 1,084,935 NIS. 0%
Of 1,084,935 NIS. to 1,524,770 NIS. = 3.5%
More than 1,524,770 NIS. = 5%
Tax on buying a second apartment:
0 NIS. to 932.070 NIS. = 3.5%
Over 932.070 NIS. = 5%
Taxes on the purchase of apartments for new immigrants:
0 NIS. to 1,318,400 NIS. = 0,5%
More than 1,318,400 NIS. = 5%
Taxes on agricultural land:
0 NIS. to 269.660 NIS. = 0,5%
Over 269.660 NIS. = 5%
Taxes on the sale of real estate.
Citizens of the State of Israel must pay sales tax on real estate (wt shevah). The tax is 20% if the property was purchased after 07/11/2001. If the property was purchased before the tax would be approximately 49%.
If the date of purchase of real estate held for 4 years, the seller is exempt from tax.
Foreign nationals are exempted from paying tax on the sale of real estate.
Russian citizens have paid taxes in Israel are not subject to additional taxes in Russia as well as between Israel and Russia is no double taxation.
The history of taxation on real estate transactions
Tax on property sales (wt Mehiri) repealed 8/1/2007, it was 2.5%.
Annual tax on property values (wt rehush) repealed in 1999, it amounted to 2.5%.
* Real estate, inherited, is not considered a transaction and therefore not taxable. The right to purchase real estate transaction is considered, and therefore also subject to tax.
Banks. Credits.
Mortgage extremely popular in Israel. The loan can not exceed 70% of project cost. In the case of insurance companies credit - "EMI", a loan can not prevyshat90% of project cost.
The decision on granting a loan to foreigners accepted by the bank on the basis of documents of income for the last 3-6 months and bank listings in the last 3-6 months. Until full payment of loans purchased by the object is formally owned by the bank. Obtaining a mortgage loan has costs: it is payment office in the bank, notice of mortgage, a notarized power of attorney, estimates of the price made by the appraiser (for the apartments from the second hand and self-construction), and stamp duty. These costs are usually around 1% of the purchase price.
The average percentage for mortgage loans, according to the Bank of Israel, is about 3.5% .0 lowest percentage will be those who take credit for a period of 5 to 12 years. Commercial banks in order to attract customers are constantly developing new schemes for payment of mortgage loans.
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Buy real estate - Israel