Frequently Asked Questions

Terminology:

People live in a house (Bayit) or an apartment (Dirah) the word "flat" is not (or very rarely) used. Terms are confusing: A "cottage" is a dwelling, on more than one level, attached to another dwelling and with a private entrance. A town-house is the same as a cottage, but with its own roof. A "villa" is usually a free standing dwelling. A penthouse refers to the top apartment(s) of a building – usually larger than the rest of the apartments in the building and with a large balcony – or roof terrace and more expensive. A "studio" usually refers to a one room apartment. A duplex is any home with two floors.

 

Size:

Israeli house sizes are usually expressed in square meters, and land is measured in dunams.

1 sq. foot = 0.093 sq. m .

1 sq. m. = 10.7 sq. ft

1 dunam = 1000 square meters = 0.22239 acres = 9700 sq. ft.

So, if you have a dunam of land, you have 4850 sq. ft.

The real problem is whether a home is measured gross (brutto) or net (netto) and what is included or excluded in these measurements.

 

Gross is used for comparing properties for sale. This measurement includes the exterior walls and interior walls of the property and a proportion of the common areas in an apartment building (block of flats). When calculating building rights, allowances are made by the planning department (for instance sealed rooms are not)

Net square meters is calculated without interior or exterior walls. Net is used by the municipality to calculate the floor area of a property to levy municipality taxes (arnona). The municipality includes for tax purposes covered balconies over 6 sq.m., 20% of the area of penthouse balconies and 50% of storerooms. Gardens and parking areas are not included.

 

What does 3.5 rooms mean?

Home sizes are also described in terms of the number of rooms – that is bedrooms and living rooms, and not including bathrooms, toilets, laundry, balconies, and kitchens. So, a home with 3 bedrooms, an en-suite bathroom and another bathroom, a separate laundry, a separate kitchen, a living room (salon), and a balcony – would be described as 4 rooms – only the bedrooms and the living room are counted. Balconies which have been enclosed to serve as a room are usually counted as rooms. There is also a concept of "half a room" – this could mean a dining area, a part of a hallway which has been converted to a study – the possibilities are almost endless.

Payment:

Finance possibilities include loans and mortgages. For young couples, special mortgages or loans of varying amounts may be available. These are more generous if you choose to live in a development town, or over the Green Line. If you hold on to the property for a specified minimum time, usually five years, than usually the loan, or at least a large part of it, is changed into a grant.

New Olim can also get various additional loans and mortgages (for Australians, from the British Olim Society). There are many different type of mortgages – dollar based, shekel based, linked, unlinked, available for periods from 10-25 years, and up to about 60% of the property's value, as assessed by a professional valuer (usually lower than market value). Bullet loans are also available, where interest only is repaid during the term of the loan, with capital being repaid at the end.

New or second-hand?

When buying new, one can buy "on the paper". This means buying from a builder and choosing your home from a plan – it may be long before construction begins. If you buy at this stage, you may have a fair bit of flexibility in terms of the final design/layout and choice of fittings. Most new homes do not have the kitchen fitted in – one is given a certain amount which can be spent on the kitchen, and should a fancier kitchen be your wish, you can then increase the amount to be spent. Housing fairs are held regularly, and there is fierce competition amongst builders to attract buyers of new homes. If buying "on the paper", or buying a house that isn't completed, one needs to clearly understands all the plans and be in a position to closely supervise. We recommend that you employ a supervisor who will ensure you will end up with a well built home.

Do all homes come with a garage?

Not necessarily. By law, builders of new homes must provide 1.5 parking spaces per dwelling unit. These parking spaces can be in an underground car park, in uncovered parking areas within the property's boundaries, or a combination. Some buildings have off-street parking allocated on a first come first served basis which can be frustrating where many families now run two or more cars.

Older homes, particularly in inner city areas, do not have any provisions for parking, which necessitates looking for parking on the street, which is not always easy. In areas where parking restrictions apply, the Municipality provides stickers for residents allowing free parking in proximity of their homes.

Do all homes have a separate storage room (machsan)?

Some do, some don't. In many homes, people use the "boidem or intersol" for storage - the open area above the bathroom and hallway ceiling (a false ceiling). By law, all new homes must have individual storage rooms.

The Exterior Walls – and building regulations

The country has various building codes. The Jerusalem building code requires all buildings to have an external facing of Jerusalem stone – and none other. Some older residential buildings have cement or stucco facings. Many of these buildings were built quickly and cheaply during the 50's in order to house the huge influx of immigrants.

Are "For Sale " signs allowed to be displayed?

Yes, but this is not very common in Israel , though it is increasing in popularity. Real Estate agents more commonly list and advertise properties in all newspapers.

Are properties sold at auction?

Almost never. Homes are usually sold through a broker, or privately.

What does "Parents" unit (Yichidat Horim) mean? Do all homes have to have a "war room"?

"Parents" unit usually means that there is a (somewhat larger) main bedroom with an en-suite bathroom and maybe a walk-in dressing room, often slightly removed from the other bedrooms. A "war room" or rather a "protective (sealed) room (Heder Migun), is a must in all homes built since the 1991 Gulf War. These rooms have re-inforced concrete walls, a special steel door and window, a TV and phone point, electricity outlets and heating. Buildings erected since the early 1970's, are required to have a shelter which serves all residents of the building if needed. There are also communal shelters (Miklat Tsibori), which are signposted, and serve several buildings.

How high can a building be without needing an elevator (lift)? Can I install a lift if there isn't one?

Generally, a building with up to 4 floors is not required to have a lift. One can have an anomalous situation where a building of 7-8 storey is built on a slope, with the entrance to the building at the 4 th floor (street) level – so that there are 3 floors below, and 3 floors above- no need by law, that is(!) for a lift. However, in newer buildings of three or more floors, lifts are installed. To install a lift, you would need to get approval of two-thirds of the owners and agreement of owners of at least 75% of the dwelling area.

What is central heating (Hasaka Merkazit)? Am I bound to use it? What is a " Junkers "?

Central heating means that the building (which contains several apartments) has one large furnace, usually oil ("solar") based, which provides heating, and sometimes hot water, for everyone. If you wish to disconnect from this system and have private heating, it is possible. You are required still to participate in the maintenance and capital costs of the system for the entire building, though you are not required to contribute to fuel costs. Private heating can be based on solar-powered, electric convector heaters, or based on a JUNKERS type system - a gas powered furnace. Now that air-conditioning systems are more common, many people are using these systems for heating purposes.

If I rent, do I pay municipality tax?

Usually yes. New immigrants are entitled to reductions in tax (arnona), as well as single parent families, large families and pensioners.

When I sell my home, or move out of a rental apartment, can I take my mezuzot?

Kitzur Shulchan Aruch, Ch. 11, Para 22 "He who leaves a house and another Jew moves in to live there, the first person may not remove the Mezuzot but must leave them in place, and the second person will pay him for them". You can remove valuable batim (cases) and replace them with cheaper plastic cases, but you cannot remove the mezuza (klaf) itself. So, if the person moving in is a Jew, (as is very common in the Jewish State) it is your obligation to leave the Mezuzot.

What is Vaad Habayit?

This refers to the dues levied on all tenants in a communal building – and covers costs of shared lighting, lift maintenance, costs of communal heating and hot water systems, cleaning, gardening, and National Insurance (Bituach Leumi) for the cleaner/s. The amount varies according to the type of services provided, and is usually collected on a monthly basis. Major repairs are the financial responsibility of the owners and not of the tenants.

Can I change the outside of my apartment or house – add a balcony, an external staircase or enlarge a window?

In a communal building, any external changes must be approved by the owners in the building and by the Planning Department of the municipality. In the case of a detached house, external changes must be approved by the municipality.

Where these changes are not in accordance with the city master plan (Taba), the immediate neighbors have to be informed and can object. Making a change to the Taba is a lengthy and costly process.

What are "building rights"?

Many years ago, laws were laid down which governed how much of a plot could be built on (usually 75%). Many exceptions were made – you could build more on corner blocks, on certain streets, in certain neighborhoods (trying to increase their amount of residents). In practice building rights significantly increases the value of the property. Remember, the empty plot next door might promise quiet and no noisy neighbors - but check the zoning rights, for a shopping center might go up soon!

How do I know if the sale price quoted is reasonable?

Check with other similar properties in the area. In the final analysis, if the property is the one you really want, and where you want it – then paying a little above market value doesn't really matter – once you have your piece of Eretz Yisrael where and when you wanted it - you'll forget about the few extra shekels or dollars that you paid.