Getting a mortgage in Israel as a non-resident
Updated November 2026 · agent+
Israeli banks lend to foreign residents, but on tighter terms than to locals. The practical ceiling is 50% of the purchase price, the paperwork is heavier, and the process is easier if you start it before you choose an apartment. Here is what to expect.
How much you can borrow
By Bank of Israel rules, a buyer who is not an Israeli resident can borrow up to 50% of the property value, whatever the number of homes they own. Israeli residents buying a first home can reach 75%. Some banks stop at 40–45% for foreign income they consider harder to verify.
The monthly payment is also capped at roughly 40% of your documented net income, and the loan usually has to end before age 75–80, which can shorten the term and raise the payment.
What the bank will ask for
Passport, proof of address, and an Israeli bank account to run the loan through (see our bank account guide). For income: the last two or three years of tax returns, recent pay slips or company accounts, and bank statements. Translations into English are accepted by most banks; Hebrew is not required.
Expect questions about the source of your equity. Anti-money-laundering rules mean the bank wants a clean trail from your savings to the purchase.
Rates, tracks and currency
An Israeli mortgage is usually split into several tracks: fixed, variable linked to the prime rate, and index-linked. Loans are in shekels; paying from a dollar or euro income means you carry exchange-rate risk on every payment. Some buyers prefer to borrow in their home country against assets there and pay cash in Israel.
Terms run up to 30 years. Early repayment is possible, with a fee on fixed tracks when rates have fallen.
A realistic timeline
Pre-approval (ishur ekroni) takes a few days to two weeks and is valid for about three months. Final approval after you sign the contract takes another two to four weeks, including the bank’s appraisal of the apartment.
Get pre-approval before you negotiate: sellers and developers take an offer with a bank letter behind it far more seriously, and you avoid signing for a price the bank will not finance.
Frequently asked questions
›Can I get an Israeli mortgage without an Israeli bank account?
In practice no. The loan is paid out and repaid through an Israeli account, so opening one is the first step.
›Does income from abroad count?
Yes. Banks assess foreign salaries, dividends and rental income, usually with a haircut, and require the documents translated into English or Hebrew.
›Is mortgage insurance required?
Yes, life insurance and property insurance assigned to the bank are required for the life of the loan.
›Can an oleh borrow more than 50%?
Once registered as a resident, an oleh is treated like any Israeli buyer and can reach 75% on a first home.
General information, current as of the date shown; not legal or tax advice. Brackets and rates change: check your own situation with an Israeli lawyer or tax adviser before you sign.