Housing Finance Policy

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    A. Legal and Regulatory Framework

    A.1 Legal and Regulatory Framework
    VariableEnd of 2015End of 2014End of 2013SourcesVar ID
    Basis of the legal system: Civil, Common, Islamic, Other? (Describe)Mixed (common and civil)Mixed (common and civil)Mixed (common and civil)A.1.1
    Registration/Transfer of titles:A.1.3
     Are property rights easily transferable?YesYesYes
    World Bank
    		A.1.3.2
    Typical number of days needed for the transfer of title81.0081.0081.00
    WDI
    		A.1.3.4
    Can liens be effectively enforced?YesYesYesA.1.4
    Are there legal constraints on mortgage features?YesYesYesA.1.6
    Loan-to-Value capYesYesYesA.1.6.2
    Payment-to-Income maximumYesYesYesA.1.6.3
    Is there specialized legislation covering:A.1.9
    B. Housing Finance Subsidies
    B.1 Subsidies to Housing Finance Institutions
    B.2 Subsidies to Households
    VariableEnd of 2015End of 2014End of 2013SourcesVar ID
    Are there subsidies to households on housing finance?YesYes 
    Bank of Israel
    		B.2.1
    Interest rate subsidies by special government fundsYesYes 
    Ministry of Construction and Housing
    		B.2.1.1
    OtherYesYes 
    Bank of Israel
    		B.2.1.6
    Reach of subsidies in 2.1.1 to 2.1.4 ?B.2.2
    C. Taxation
    VariableEnd of 2015End of 2014End of 2013SourcesVar ID
    What taxes apply to Residential Real Estate?C.1
    Tax on property (home-owners) NoNo 
    Global Property Guide
    		C.1.1
    Property transaction taxes (purchase/selling)YesYes C.1.2
    Tax on capital gains on property YesYes 
    Global Property Guide
    		C.1.5
    back to top | Country Data:
    Notes: "New Format Buyer's Price" Program: Government will grant a discount on price of land and lower the price of dwellings built on it. First home buyers must participate and win the Buyer's Price Lottery to be eligible for the government subsidy.
    Notes: Inflationary appreciation is not taxed.
    Notes: Inflationary appreciation is not taxed.
    Notes: LTV's for all housing loans are capped at 70%, except for first time home buyers for whom this cap is at 75%
    Notes: LTV's for all housing loans are capped at 70%, except for first time home buyers for whom this cap is at 75%
    Notes: Target Price Program: Government offers builders state-owned land at discount, but the discount must be passed along to buyers (i.e. selling price should be 20% less than market value).
    Notes: The Government grants housing assistance to individuals who fall under its "without housing" criteria. Eligibile individuals will have mortgage interest rates of 0.5% less than the average interest rates of mortgage banks publicized by the Bank of Israel. Eligibile individuals may choose repayment period for mortgage between 10 and 30 years.