Real Estate Law

Property transactions are not always as straightforward as they appear

Many people approach a real estate transaction as a matter of agreeing on the price and signing the contract. In reality, the outcome may depend on matters that are not immediately apparent: the status and registration of the rights, prior obligations, tax exposure, building irregularities, agreements affecting the property and, in some cases, planning or family-related issues.

Reviewing these matters at an early stage allows you to understand the implications of the transaction before you are bound by it, identify potential issues and make informed decisions from the outset. This is especially important for clients based outside Israel, where the process often depends on local records, authorities, filings and registration procedures.

Before you commit

Let us check the things that truly matter for you.

What does legal representation in a real estate transaction involve?

Real estate representation extends well beyond drafting the contract. It may include reviewing the legal status of the property and the rights being transferred, examining transaction documents, identifying risks, addressing tax considerations, negotiating and documenting the parties’ agreements, and managing the process through the required registration or other legal arrangements. Our approach is tailored to the nature of each transaction, whether it involves a purchase, a sale, a purchase from a developer or a more complex arrangement. From the outset, the aim is to understand the transaction as a whole and address the issues that may affect its legal, financial or practical outcome. The objective is not simply to reach signature, but to structure and complete the transaction on a clear and legally sound basis, while protecting the client’s position at every stage.

Why should the property be reviewed before you commit?

Before purchasing, selling or transferring rights in property, it is important to establish its actual legal status. What has been represented verbally does not always correspond with the Land Registry, the transaction documents or obligations that already affect the property. An early review may reveal registration issues, outstanding liabilities, restrictions, building irregularities or tax considerations that have not yet been taken into account. Identifying these matters before signing helps prevent a transaction from moving forward without a clear understanding of the risks involved. In our experience, this is one of the most important stages of a real estate transaction and, in some cases, may determine whether and on what terms it should proceed.

Different transactions require different legal and practical checks

Buying a new property from a developer is not the same as purchasing a second-hand property. A transaction within a development project differs from a transfer between family members. Sales, leases, dissolution of co-ownership and transfers arising from inheritance or divorce each raise their own legal considerations. For that reason, we examine the circumstances of each transaction individually: who the parties are, what rights are involved, how the transaction is structured, which documents are available and what must be resolved before moving forward. The firm advises on a broad range of real estate transactions, including purchases from developers, second-hand transactions, purchase groups and lease agreements, with the legal work tailored to the particular characteristics of each matter.

Real estate taxation can materially affect the economics of a transaction

A common mistake in real estate transactions is to focus on the agreed price without considering the wider tax implications. Purchase tax, land appreciation tax, available exemptions, related liabilities and the way a transaction is structured may all affect its ultimate financial outcome. We consider taxation as an integral part of the transaction, allowing clients to assess its economic implications in advance rather than discovering significant liabilities only after the transaction is already underway. This is particularly important in a field where the applicable tax considerations can be complex.

Projects, planning and building, and registration of rights

More complex real estate matters, including development projects, TAMA 38 projects, transactions involving landowners, condominium registration and planning and building proceedings, require coordination across several legal and administrative layers: contracts, property rights, public authorities, documentation and registration. The firm also represents rights holders in these processes, addressing the relevant legal issues throughout the planning, agreement and implementation stages. In matters of this kind, the legal work is not confined to negotiating or drafting the agreement. It also involves managing the process as a whole and completing the required legal, registration and documentation steps as fully as the circumstances allow.

The transaction does not always end at signature

Signing the agreement is an important milestone, but it is not necessarily the final stage. The period following signature may involve completing documentation, submitting required filings, obtaining approvals, arranging payments, transferring rights and completing registration. We continue to advise clients through these post-signing stages so that the transaction progresses in an orderly manner until completion. Where necessary, our representation may also extend to disputes or legal proceedings arising from the transaction, including enforcement of agreements, construction defects and issues relating to the use of the property.

Questions and Answers

What is important to know before a real estate transaction?

Is a lawyer required for a real estate transaction?

Legal representation is not mandatory in every situation, but real estate transactions carry significant legal and financial consequences. Having a lawyer involved helps verify the rights in the property, identify potential risks, and ensure that the agreement properly protects your interests.
What should be reviewed before purchasing a property?

The review will typically include ownership and title rights, registration status, transaction documents, existing obligations or encumbrances, tax implications, and, where relevant, planning issues or possible building irregularities.
Is there a difference between buying from a developer and buying a resale property?

Yes. A purchase from a developer generally involves a more complex agreement, future obligations, payment schedules, delivery dates, and additional protections that must be considered.

A resale transaction usually places greater emphasis on the existing ownership rights, registration status, the contractual arrangements between the parties, and completing the transfer of title.
Should tax implications be reviewed before signing?

Yes. Tax considerations can materially affect the overall cost and financial implications of a transaction. They should therefore be reviewed before signing rather than after contractual commitments have already been made.
What should I check before buying an apartment?

Before purchasing an apartment, it is important to review the ownership rights, the Land Registry extract, the identity of the registered owners, mortgages, liens, attachments or other restrictions, as well as the transaction documents and potential tax implications.

When purchasing from a developer, or where the property raises planning issues, it may also be necessary to review future obligations, project timelines, and the relevant planning status.
What is a Land Registry extract, and why is it important?

A Land Registry extract — commonly referred to in Israel as a Tabu extract — is an official record showing the registered details of the property. It may include the registered owners, mortgages, liens, attachments, and other restrictions affecting the property.

Reviewing the extract is an important part of the due diligence carried out before purchasing, selling, or taking other legal action involving registered real estate.
Does signing the contract mean the property is already registered in my name?

No. Signing the purchase agreement does not necessarily complete the transfer of ownership. A real estate transaction must generally proceed through the required registration process before the purchaser's rights are formally registered.

Until registration is completed, the agreement may represent a contractual commitment to transfer the property rather than the completed registration of title itself.
What is the difference between buying from a developer and buying a resale apartment?

A developer purchase typically involves a detailed agreement covering future obligations, payment milestones, delivery dates, possible indexation, and additional costs. A resale purchase focuses more heavily on the property's current title and registration status, the parties' contractual obligations, and the completion of the transfer of ownership.
Should building irregularities be checked before purchasing a property?

Yes. If there is any indication that the physical condition or use of the property may not correspond with the approved plans or permits, the issue should be examined before making a binding commitment.

Planning or building irregularities may affect the property's value, permitted use, and the protections or provisions that should be included in the purchase agreement.
When is purchase tax payable?

Purchase tax applies to the acquisition of certain rights in Israeli real estate. The amount may depend on factors such as the type of property, the purchase price, and the purchaser's individual circumstances or applicable entitlements. The tax implications should therefore be reviewed as part of the transaction before signing.
What is the difference between purchase tax and capital gains tax on real estate?

Purchase tax is generally imposed on the purchaser when acquiring rights in real estate. Real estate capital gains tax (Mas Shevach) generally relates to the taxable gain arising from the sale of a property.

The actual tax consequences depend on the nature of the transaction and the circumstances of the parties, so the position should be examined before contractual commitments are made.
Do I still need my own lawyer when buying from a developer who already has a lawyer?

Yes. The developer's lawyer does not represent the purchaser's interests. Your own lawyer can review the agreement on your behalf, including delivery dates, payment mechanisms, buyer protections, contractual obligations, and potential risks before you sign.
What happens after a real estate purchase agreement is signed?

Signing is often only one stage of the transaction. The process may still involve tax reporting, payments, obtaining documents and approvals, satisfying contractual conditions, transferring rights, and completing registration.

A transaction is therefore not measured only by the signing of the agreement, but by the proper completion of all steps required to transfer and register the rights.
Is condominium registration important before individual ownership rights can be registered?

Yes. In buildings that require registration as a condominium, registration of the condominium order is generally an important preliminary step before individual units can be registered separately in the Land Registry.

You deserve close, professional, and personal legal support.

In the most expensive and important transaction of your life, I will be there for you.
From the negotiation stage through delivery or receiving the keys, registration in the Land Registry, and far beyond.