Financing your home in Israel? Whether you’re a new immigrant (Oleh) or an overseas buyer, getting a mortgage is possible—but there are some important differences you should know.
Can Foreigners Get Mortgages in Israel?
Yes. Several Israeli banks offer mortgage options to non-citizens and foreigners, though you’ll likely need:
- A larger down payment (often 40–50%)
- Proof of income (translated if foreign)
- A valid passport and tax ID
- Credit history or bank statements
Some banks also require you to open a local bank account to handle repayments.
Mortgages for New Immigrants (Olim)
If you’ve recently made Aliyah, you may qualify for:
- Discounted interest rates
- Government-backed loans
- Reduced purchase taxes
These benefits apply for a limited time (usually within 7 years of Aliyah), so check with your banker or Misrad HaKlita.
What Documents Are Needed?
For all buyers:
- Passport or Israeli ID (Teudat Zehut)
- Proof of income/employment
- Bank statements (6–12 months)
- Property details and signed contract
For foreigners:
- Translated proof of income (by notary)
- Proof of funds transfer
- International tax forms (sometimes)
Recommended Banks for Foreigners
- Bank Leumi
- Mizrahi Tefahot
- Bank Hapoalim
- Discount Bank
All major banks offer English-speaking mortgage advisors.
Tip from the Experts
Always shop around—even a small interest rate difference can save you tens of thousands of shekels over time. And don’t forget to factor in:
- Mortgage insurance
- Life insurance (mandatory with most banks)
