Come and make your new home in the Crown Jewel of the Galil, on the shores of the stunning Kinneret, where every view is breathtaking. Morning sunrises, afternoon sunsets, water, mountains, city, life… you can’t do much better.
See you soon.
Israel Real Estate Homes and Investments
According to the Housing Ministry, as published in a recent YNet News article, the best real estate deals are in Northern Israel. Compare the price of a 4 room (3 bedroom) apartment in the center to one in the north, especially in Tiberias, and you will see that the best deal for your money is going to be in the north. Why spend a fortune for a tiny apartment when, for the same price, you can buy a spacious apartment (maybe even a villa), with stunning views of Lake Kinneret (Sea of Galilee), the Golan, the hills and valley of the Galil, and live in a quiet, peaceful environment with plenty of room for the family to grow, explore and enjoy the beauty of nature. See http://www.ynetnews.com/articles/0,7340,L-4379685,00.html for the full article.
A review conducted by the Housing Ministry’s Economic Analysis and Information Division, which included real estate transactions executed in 75 major communities across the country, examined the average price of an apartment in the first quarter of 2013 according to the number of rooms and geographical region.
In northern Israel, the average price of a second hand three-room apartment stood at less than NIS 500,000 ($140,000). Apartments could be purchased for this sum in the first quarter of the year in the cities of Tiberias, Tirat Carmel, Migdal Haemek, Ma’alot, Nazareth Illit, Akko, Afula, Safed, Kiryat Ata, Kiryat Yam and Kiryat Shmona.
The price of a second hand four-room apartment stood at less than NIS 700,000 ($195,000) in the cities of Tiberias, Migdal Haemek, Nazareth Illit, Afula, Safed and Kiryat Shmona. The price of a new four-room apartment stood at less than NIS 800,000 ($225,000) in the cities of Beit She’an, Tiberias, Migdal Haemek and Afula.
Tiberias, or Tveria as it is known in Hebrew, sits on the shores of the beautiful Lake Kinneret (Sea of Galilee), in northern Israel. Surrounded by beauty from every side, this crown jewel of the Galil is fast becoming a favorite destination for new olim seeking to build their new home in Israel. This, combined with the fact that Tveria is the number one tourist destination makes for a city ripe with tremendous potential for real estate investors. Property prices are constantly on the rise, and property values are sure to grow considerably in the years ahead. The government of Israel is investing significant funds to improve infrastructure and attract business development. Now is the best time to purchase your investment property, while the prices are still very affordable, to capture the greatest return on your investment capital.
For instance, consider this apartment listed at a bargain-basement price, only NIS 250,000!! This is a studio apartment, completely refurbished, remodeled and beautifully furnished, in the heart of the city’s commercial district. A short walk across the street will bring you quickly to the shores of the Kinneret, waterfront restaurants, the marina, and a wide choice of water activities, including fishing and swimming. You cannot beat the location! While there is parking, one can easily throw away the keys and get to all the places in the city, as well as all the major points throughout the entire country of Israel, by public transportation. This apartment can be rented out long-term or for an even higher return, will make an excellent vacation apartment, sure to be booked all through the summer. NIS 250,000 will get you in on an outstanding real estate investment in beautiful northern Israel.
Tomb of Rambam to be Declared Heritage Site
By Elad Benari
Prime Minister Binyamin Netanyahu has instructed his office to add the tomb of the Rambam (Maimonides) in the city of Tiberias to the list of Israeli heritage sites.
The Rambam, who lived in Egypt in the 12th century, was one of the greatest halakhic authorities of all time. He was also the philosopher-author of Guide to the Perplexed, a scientist and royal physician to the Sultan. It became a common saying that “From Moses [the lawgiver] to Moses [Maimonides], there was no one like Moses”.
Netanyahu’s decision came following a visit to the city of Tiberias last week, during which he was given a tour of the tomb of Maimonides.
Netanyahu was especially impressed by what he saw at the path leading to the tomb. Seven pillars have been placed on either side of the path, and each pillar has the name of one of the 14 sections of the Mishne Torah, also called the Yad Hachazaka, the first compendium of halakhah organized according to topics and written by Maimonides. (Yad is the numberical equivalent of 14). It is one of the basic tools of Torah learning.
Naming the tomb of Rambam a heritage site will be done as part of a development program in the city of Tiberias, marking its 2000th anniversary. Netanyahu has also instructed Education Minister Gideon Sa’ar to examine the possibility of including visits to the tomb of Maimonides as part of the curriculum studied in schools.
Prime Minister Netanyahu said during the visit, “Maimonides was a philosopher, theologian, physician, astronomer, and a spiritual leader. His universal spirit is great and you cannot ignore his burial place. Maimonides is buried in Israel, in Tiberias, and we need to take care of his burial place.”
Last week, the government approved a NIS 145 million plan for tourism development of Tiberias.
The plan, which includes investment in the development of tourist sites, will feature construction of a promenade along Lake Kinneret – the Sea of Galilee.
Developers will also link Tiberias with the Christian tourist site at Capernaum, as well as other heritage sites in and around the city.
Grants of up to 28 percent of the investment will be provided to private entrepreneurs to encourage construction of new hotels, officials said.
The city, home to some 45,000 residents, is located on the western bank of Lake Kinneret and features a shore that stretches a bit more than seven and a half kilometers long.
Tiberias mayor Zohar Oved recently announced that the city plans to build a new school of pharmacy in the city, which will be named after the Rambam.
Guest Contributor: Moshe Wilshinsky
What to Expect
While home financing in Israel carries some similarities with the US, there are a number of important differences you should be aware of when getting a mortgage in Israel. Here are five tips from a Mortgage industry veteran with a quarter century of experience who has worked both in the US and Israeli markets.
Full Service vs. Self-Service
In the US, most lenders handle the entire mortgage process for you from appraising the property to title searches and handling the registration of the lien in public records. In Israel, it’s more self-service, so prepare to do a lot of running around, ask a lot of questions, and be careful.
Disclosure vs. Discovery
In the US, there are numerous mortgage regulations, such as “Truth in Lending” and its “Regulation Z,” and RESPA (the Real Estate Settlement Procedures Act). These regulations try to protect consumers, by mandating Lenders Disclose as much information as possible. In Israel, however, consumer disclosure regulations are minimal. For example, how adjustable rates adjust and how high rates can go (read about the lack of “Rate Caps” below) or the fact that there are some loans in Israel called “Fixed Rate” loans that actually adjust every month (see explanation for Real vs Nominal interest rates below). These are just a couple of examples, so be sure you understand what you’re getting into.
What You See vs. What You Get
The types of loans available in Israel are similar to those in the US and even Canada and the UK, but there are also subtle but major differences. For example, the US offers fixed-rate loans, where the interest rate remains the same throughout the life of the loan, in nominal terms whereas Israeli fixed-rate loans are often in real terms. A real interest rate means that the actual interest you pay on your mortgage is the contractual rate plus inflation, whereas a nominal rate means you pay the contractual rate and no more.
Vanilla vs. a Portfolio of Thirty-One Flavors
Despite requiring more work and diligence, Israel offers borrowers opportunities that don’t exist in the US. For instance, in the US, you select a type of mortgage-e.g., fixed or adjustable (and, for that matter, on what basis it’s adjusted)—but every dollar you borrow is subject to the same loan terms. By contrast, in Israel your mortgage can be made up of smaller mortgages with different terms, but with one consolidated payment. For example, if you borrow $300,000, every $60,000 can have different types of interest rates (e.g. fixed or adjustable), currencies, and each can be paid off separately. Think of it as the inverse of an investment portfolio – just as an investment portfolio matches your investment objectives (e.g. risk tolerance as well as income and capital appreciation requirements) so should a loan match your loan objectives. While five different sets of terms can be confusing, this arrangement provides the borrower with greater flexibility than what’s available in the US.
The Sky’s the Limit
Adjustable-rate mortgages (ARMs) are as popular in Israel as they are in the US. However, mortgage lenders in the US limit how much interest can change in a single adjustment, as well as cumulatively over the life of the loan usually referred to as “rate caps”. Israel has no such “rate caps.” It is also important to remember while rate locks for 30, 45 and even 60 days, are commonly used in the US, they do not exist in Israel.
Thank you to Moshe Wilshinsky of Moville Mortgage & Finance LTD. For more information please visit http://www.homeloansinisrael.com.
From NBN’s Aliyahpedia