Property in Israel
The property market in Israel has been experiencing encouraging times recently. New government policies and initiatives are targeted at reducing the cost of houses, increasing the volume of property construction and developing the overall housing sector. This has made Israel one of the ideal places in the world to buy property. This technologically developed country with a strong fiscal strength is doing a lot to promote the development of infrastructure and property sector with the intention of creating investment opportunities that would attract both local and foreign property investors.
An overview of the Israel real estate market
In the last 10 years, the Israel real estate market has seen house prices climb. There are speculations that this increase in house prices was as a result of the increase in the number of foreign investors in the Israel real estate market. However, the first half of 2018 has seen some changes in the industry. The economy has been expanding significantly with the country experiencing the lowest in unemployment level since 1983 followed by a 5% increase in wages. Currently, there are more house buyers in Israel than there are investors which makes the market an open opportunity for property investors. It is important to understand that the real estate market is changing. The government is playing a huge role in regulating the industry by putting down policies aimed at reducing the price of houses. Even though there are speculations that the Israel real estate is looking at a potential bubble burst, this is just speculations and the efforts of the Israeli government in increasing the supply of real estate has so far been successful.
Can foreigners buy property in Israel?
The Israel real estate market provides a good opportunity for foreigners to make profitable investments in properties. In the past few years and especially in 2018, the Israeli economy has experienced laudable stability providing a good environment for foreign investors to enjoy the returns on their property investment.
Even though a foreigner can buy property in Israel with little or no restrictions, there are a few conditions that need to be met. First of all, a foreigner would need to retain the services of a lawyer who is familiar with the procedure. This is because a different set of documents are needed to buy a property from a developer or an owner for registering at the land authority. There is also the matter of transferring money into Israel from foreign countries. While a property investor can easily open a local bank account, he or she would need to provide acceptable proof of relationship with the party abroad before the funds can be sent and received. A quick alternative will be for the foreign buyer to transfer the money directly into the local account of the property seller. As long as there is a contract to show the purchase or sale of real estate, the bank would be satisfied enough to process the transfer. It is worth mentioning that besides the formal rules in place for foreign property buyers, there are lots of unwritten rules that the investor has to abide by. To avoid any action or inaction that may jeopardize the chances of buying property in Israel, it is advisable to have someone on ground who is familiar with Israeli customs as well as the property buying process.
The best place to buy land in Israel
Just like in every other country, the value of properties differs from city to city and area to area. The price of properties in Tel Aviv cannot be the same as that of Jerusalem; therefore it will be difficult to exactly define where the best place to buy land in Israel is. At the end of the day, the choice of location will determine on a lot of factors, one of which is the financial situation of the buyer or investor.
However, to make the picture clearer, here is an overview of some of the popular locations in Israel.
Jerusalem is known to be a prime real estate location due to its being the country’s capital city. Playing host to government establishments, big businesses and employers of labour, it is also one of the most expensive cities in Israel.
Tel Aviv is generally accepted to be Israel’s business capital and is therefore the most expensive in terms of real estate prices. Located on the Mediterranean, this city plays host to a lot of businesses, both big and small.
Other potential real estate investment locations in Israel include Haifa, which is the third largest city with an impressive share of government buildings and businesses. Foreigners looking to buy property in Israel are more likely to look towards Herzliya, this small town sandwiched between Jerusalem and Tel Aviv is known for its huge number of foreigners as well as technological and educational organizations.
Where to find cheap property for sale in Israel
Prices fluctuations are the norm when it comes to real estate in Israel. Once there is an influx of property investors in one area, the prices of properties in that area and surrounding areas will increase. The size and area of the location in question also affects the prices of property, however for locations in Israel where the prices of property is cheap, you may want to consider locations such as Gush Etzion, Netanya, Modiin. While these areas are not exactly dirt cheap, they are not as expensive as Tel Aviv or Jerusalem.
Looking for apartment for sale Tel Aviv
Tel Aviv is the capital of business capital of Israel and so have a large number of apartment buildings for business owners and their employees. The larger numbers of apartments in this area are mainly for rent but with the right connection, it is possible to find apartments for sale. Note however apartments in Tel Aviv are extremely expensive based on the lifestyle of people in the area.
Availability of farms for sale in Israel
The desire for property is Israel has made a lot of people to turn their attention to the farmlands. While the topography of the region is ideal for a number of crops, the process for buying a farmland is a lot different from that of buying a regular real estate. Investors looking to buy farms in Israel for agricultural purposes will do well to first study the market in order to decide the best agricultural produce that would do well there. However, there are a few people who are looking to agricultural land with an eye to redevelopment. Before entering into such a venture, ensure that you have done your research properly, and especially work with an individual or organization who understands the political terrain of the region.
Beautiful pictures of houses in Israel
Pitsou Kedem Arch House, Tel Aviv. Courtesy nocamels.com
Neve Tzedek, Tel Aviv. www.israeltripplanner.com