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Mortgages

Developers push zero-equity home purchases as Bank of Israel limits bite

6 November 2026 · Based on Globes

Illustrative photo · Tel Aviv-Yafo
Illustrative photo · Tel Aviv-Yafo · tedeytan, Wikimedia Commons, CC BY-SA 2.0

Israeli developers have recently begun offering properties with almost nothing down, marketed as zero own capital. The article notes that Bank of Israel's strict financing limits protect the stability of the banking system, not household finances. The gap is now being filled by non-bank credit and developer loans, described as a grey-to-light-grey market.

What it means for buyers abroad

Buyers abroad who see 0% down offers should check who provides the financing and under what terms, since these deals sit outside regular bank mortgage rules. Comparing them with a standard bank mortgage helps clarify the risks involved.

Read the original article (Globes, in Hebrew) ↗

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