Buy New Apartment in Tiberias

IMAG0915Here is another new exciting residential project in Tveria. Located near the heart of the religious center of Tveria, the project consists of 27 apartments, ranging in size from 126 sq meters to 145 sq meters, including garden apartment and penthouse, in a modern design, with exclusive interiors in a fully shomer Shabbat environment.

 

IMAG0921The building location is excellent. It is surrounded by Tveria’s most famous synagogues, kollels, yeshivot, schools, and near to major grocery stores, restaurants and within an easy walk from the marina and heart of the city. Completion due in 2016. But, don’t wait until then! This builder is very popular, and his projects sell very quickly. Make a reservation today. Contact us for further details and instructions for purchasing.

Buy a Vacation Apartment in Safed or Buy the Hotel!

ataraIncredible opportunity to get in on the ground floor of Safed’s exciting new residential vacation project. In the heart of the city, within an easy walk to all of your favorite sites, is a new boutique hotel, designed with the most luxurious interiors you could imagine.

21Inside will be a variety of vacation apartments, from studio to 4 room luxury vacation homes that can be rented out when you are not in Israel to enjoy it yourself. Very affordably priced from NIS 599,000 to NIS 1.8M for 4-room unit with heated swimming pool.10

All units have a balcony, kitchen (gourmet kitchen in larger units), and are constructed from the highest standard of materials and with meticulous attention to detail. These units are going to sell quickly. Contact us right away for more information at dvorah.chesed@gmail.com.23

Buy Property in Israel, not in America!

A recent report published by CBRE shows that the Israeli dream of making it big in the US real estate market is not being realized. In fact, a little more than 50% of investors are losing money. Here is a link to the Arutz7 news article. http://www.israelnationalnews.com/News/News.aspx/181636#.U5mDaPmSySo

In Israel, the real estate market is booming, and continues to improve every day. Areas outside of the center, in the north and in the south, are seeing significant gains in real estate prices and property values. It is the very best time to invest your dollars here at home. Property management companies charge very reasonable fees and will take good care of your property plus maximize your investment return. Everything you need for long-term savings and investment growth is here in Eretz Israel.

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A new, luxury residential project in Tiberias, Sea of Galilee, Northern Israel

Turn a Dream to Reality
This Project is Off the Drawing Board and Ready for Reservations!

About the Project

  • A new, unique residential project, integrating the beauty of the ancient with the high quality of the modern
  • A unique residential project in the heart of Tiberias
  • The project is located within walking distance of everything: the city center, the Sea of Galilee, shopping malls, keverot Tzaddikim, including the Rambam, synagogues and more…

Enjoy all the benefits

  • Unique architectural design and high standard of construction
  • Residential complex of 18 units, each 3-4 rooms
  • All apartments with gorgeous views of the Sea of Galilee and Golan mountains
  • All apartments with balconies and views. The building includes a parking garage, storage and Shabbat elevator.
  • The building will have an elegant lobby with a sophisticated security system. All residents can enjoy the rooftop lounge and barbecue for socializing and relaxing

 

Contact weidner.dvorah@gmail.com now for more information and to reserve your apartment

How to Buy Property in Israel

Here is a great article from First Israel Mortgage to help you with all your questions regarding your home purchase. Be sure to check out our “Hot Properties” pages for the latest listings in northern Israel.

How much will I qualify for when applying for a mortgage?

Israeli banks qualify borrowers according to their earnings. The debt to income ratio cannot exceed 40%. This means that a household that is earning 20,000 NIS per month net cannot have monthly mortgage payments in excess of 8,000 NIS per month. In certain instances total assets and liabilities can play a deciding role as well. For these reasons it is advisable to apply for a pre-approval prior to signing a purchase contract for a property in Israel.

Are there fixed rates in Israel?

Yes. Fixed rates are available in both linked to inflation and not linked to inflation products. Prepayment penalties can be a factor when taking a fixed mortgage. It is best to discuss this option with a qualified mortgage professional to understand the benefits and risks involved.

How much financing will the bank provide me?

Israeli citizens are eligible to borrow up to 75% of the value of the property, if it is their first home. Investment properties for Israeli citizens are limited to 50%. Non-Israeli citizens are generally limited to 50% however 65% is possible.

Is my mortgage tax deductible?

For Israeli citizens filing taxes in Israel, mortgage interest is not yet tax deductible. However, United States citizens may deduct mortgage interest paid on their home in Israel from their U.S tax returns, provided they itemize the deductions on Schedule A.

 How long does it take to obtain an “ishur ikroni” (pre-approval)?

From the time ones documentation is received, pre-approvals can be obtained in a matter of days, often times even within 24 hours.

 How long does the mortgage process take?

From the time your documentation is received, the process can take between 2 to 6 weeks to close your mortgage, depending on the complexity of the situation.

 Will taking a mortgage in Israel affect my credit in the United States?

No. Mortgages and other credit extended in Israel are not reported to the U.S.credit bureaus.

 Can I go into an Israeli bank branch in the U.S. to submit paperwork for my mortgage in Israel?

Typically, no. Israeli bank branches in the U.S. are often separate corporations from the ones in Israel and generally do not correspond with each other very smoothly.

Can I refinance a mortgage taken in Israel?

Yes. Refinancing in Israel entails low fees and no additional taxes. It is important to note however that there are pre-payment penalties on certain types of loans that must be considered.

Can I pay an additional amount every month to shorten the term of my loan?

Banks in Israel sometimes charge a pre-payment penalty and many do not accept payments of less than 10%  of the amount of money owed. Additionally, the payment reduces monthly payments, but leaves the term the same. For this reason, it is advisable to initially structure the loan to meet your needs.

English – Hebrew Useful Terminology

 

Mortgage Mashkanta משכנתא
Apartment Dira דירה
Property Neches נכס
Area Ezor איזור
Neighborhood Sh’chuna שכונה
House Bayit בית
Loan Halva’a הלוואה
Bank Bank בנק
Approval Ishur Ikroni אישור עיקרוני
Appraisal Shama’ut שמאות
Payment track Maslool מסלול
Purchase tax Mas rechisha מס רכישה
Interest Ribit ריבית
Cash out loan Halva’a LeKol Matara הלוואה לכל מטרה

Buy new apartments in Tiberias, Israel

Sea_of_galilee_dusk_from_tiberias_israelTveria (Tiberias) in northern Israel, along the shores of the Sea of Galilee is your city of choice for the best in residential living. Whether looking for a small vacation apartment, or expansive villa, Tveria has it. The city is alive with renovations, new construction, new restaurants, a new shopping mall, a new mayor…new, new, new!

tveria_03_A4If you are looking to buy a new apartment in Israel then consider this project by a very popular, experienced and successful developer in northern Israel. This new residential tower is the third and final phase of an apartment complex located in one of the best spots in the city. A mere 15 minute walk from the Kinneret, the area is filled with synagogues, restaurants, schools, yeshivot, grocery stores, specialty shops, parks, health clinics and public transportation. Being just a little up the hill from city center, the air is lighter and cooler.

tohnit1a_A3The project consists of 15 apartments, all 4 rooms, all with a mirpeset (balcony), and views of the Kinneret. All priced at 820,000 nis, except for the garden apartments which are 880,000 nis and the penthouse, priced at 1.2M nis.

You won’t want to miss out on this opportunity to live in the upper heart of the city. 10% will hold your new apartment in Israel. Delivery anticipated in one year. Contact us right away for more details and to make your reservation.

Changes to Israeli tax code will impact foreign buyers and sellers

caesarea4Have plans to purchase your new home in Israel? Plan to sell your home in Israel? Here are some changes to the tax law that will impact your bottom line.

As a part of the 2013 budget process, the Israel Knesset made a number of major changes to purchase tax and capital gains tax calculations. The changes go into effect in January, 2014.

There have always been exemptions to the capital gains tax on the sale of residential units, regardless of the number of properties you owned. One such exemption allowed you to sell a property once every 4 years without being subject to a capital gains tax. Beginning in January, 2014, it won’t be so easy. In order to be exempt you will need to meet the following requirements:

  1. Prove that you do not own any property in your home country
  2. The property being sold is your sole residential property in Israel. If you have up to a 33% share in another property, the exemption is still available
  3. This was a residential property only, i.e., you used it for living and for investment
  4. You did not sell another property with 18 months of this sale, availing yourself of the capital gains tax exemption
  5. You are not selling to someone in your family or transferring the property to them as a gift

In all cases, the exemption applies only up to the 1st 4.5M shekels of the sales price. If you don’t meet any of these requirements, then you will have to pay the capital gains tax which is calculated according to a number of complex formulas. It is best to consult with your lawyer before listing your property so you are prepared in advance.

The government also made changes to the purchase tax law, targeting primarily higher-end, luxury properties in the hopes of dissuading foreign purchase of investment properties, many of which sit empty for the majority of the year. Here are the new brackets: (all in shekels)

  1. Up to 1,089,350 pay 5%
  2. Between 1,089,350 and 3,268,040 pay 6%
  3. Between 3,268,040 and 4,500,000 pay 7%
  4. Between 4,500,000 and 15,000,000 pay 8%
  5. Over 15M shekels pay 10%

The purchase tax brackets for Israelis are a little bit better.  Your first purchase of a home priced up to 1,470,000 is purchase tax free. If you make Aliyah within two years of signing the contract of sale, you will be treated as an Israel citizen.

Living facing south (1)Still, it’s a great time to buy your home in Israel. And, as always, northern Israel is your best market for finding spacious residences at affordable prices. Don’t see what you are looking for on this blog? just be in touch and we can search for you.