ContactJERUSALEM REAL ESTATE GUIDE
Israeli Real Estate Glossary - Key Terms for International Buyers
Buying property in Israel involves terminology that doesn’t exist in other markets. This glossary defines every critical term you’ll encounter — from initial inquiry to key handover.
KEY TAKEAWAY
The most important terms for foreign buyers: Mas Rechisha (purchase tax, 8% for non-residents), Tabu (land registry / freehold ownership), Mamad (reinforced safe room, mandatory since 1993), Arnona (municipal property tax, ₪4,000–8,000/year for 100sqm), and TAMA 38 (seismic retrofit program that adds Mamad + elevator at zero cost to residents).
Mas Rechisha
מס רכישה · TAXATION
Israel’s property purchase tax, calculated on a progressive scale. Foreign buyers pay 8% on the first ₪6,055,070 and 10% above that threshold (2025–2027 frozen brackets). Israeli residents buying a sole property pay 0% up to ₪1,978,745. New Olim (within 7 years of Aliyah) pay 0.5% on the first ₪1,978,745 and 5% above. Must be paid within 50 days of signing the purchase agreement.
Tabu
טאבו · OWNERSHIP
Israel’s Land Registry, operated by the Ministry of Justice. A property registered at Tabu has clear, private freehold ownership — the gold standard of Israeli real estate. Tabu registration confirms legal title and protects the buyer’s rights. Not all properties are Tabu-registered; some are registered with the Israel Land Authority (ILA) or on Church Land leases.
Mamad
ממ״ד · SAFETY
Acronym for Merkhav Mugan Dirati — a reinforced private safe room. Mandatory in all new residential construction since 1993. Built with reinforced concrete, blast-resistant steel doors, and air filtration per Israeli Standard SI 414. Typically 9–12 sqm. Post-October 7, 2023, properties with Mamad command a 15–25% premium. At luxury rates of ₪40,000–60,000/sqm, a Mamad represents ₪320,000–720,000 of embedded value.
Arnona
ארנונה · TAXATION
Israel’s municipal property tax, similar to council tax (UK) or property tax (US) but significantly lower. In Jerusalem, rates for a 100 sqm apartment range from ₪4,000–8,000 per year ($1,100–$2,200). Paid to the Jerusalem Municipality. New Olim receive a 90% discount for the first 12 months.
TAMA 38
תמ״א 38 · URBAN RENEWAL
Israel’s national outline plan for seismic reinforcement of older buildings. Developers retrofit pre-1980 buildings with Mamad, elevator, and structural reinforcement in exchange for rights to add new floors. Current residents pay nothing — the project is funded by sale of new units. Post-completion property values increase 20–40%.
Pinui Binui
פינוי בינוי · URBAN RENEWAL
Large-scale urban renewal: the entire old building is demolished and replaced with a modern tower. Existing residents receive free replacement apartments, typically 30–40% larger. Requires full evacuation for 5–10 years. Most common in peripheral neighborhoods like Katamonim, Kiryat HaYovel, and Gilo.
Church Land / Admat Knesiya
אדמת כנסייה · OWNERSHIP
Properties built on land leased from Christian denominations, primarily the Greek Orthodox Patriarchate. The buyer owns the building but not the land beneath it. These properties trade at a 15–25% discount versus Tabu properties. Financing is limited (40–50% LTV max). Neighborhoods most affected: Nayot (85–95%), Talbieh (30–40%), Rehavia (10–15%).
Hivun
היוון · OWNERSHIP
The process of capitalizing (buying out) a Church Land lease to convert it to standard ownership. Cost is typically 5.5% of the assessed land value. If successful, the property transitions from leasehold to freehold, eliminating the Church Land discount and potentially increasing value by 15–25%.
Tofes 4
טופס 4 · LEGAL
Form 4 — the official occupancy permit issued by the local municipality confirming a building meets all safety and construction standards. Required before residents can legally move in. For new construction, Tofes 4 is the milestone that triggers final payment and key handover.
Heerat Azhara
הערת אזהרה · LEGAL
A ‘warning note’ registered at the Tabu (Land Registry) that alerts third parties to an existing claim or agreement on a property. Filed immediately after signing a purchase agreement to protect the buyer’s rights and prevent the seller from selling to another party.
Mas Shevach
מס שבח · TAXATION
Capital gains tax on the sale of real estate in Israel. Standard rate is 25% on the real (inflation-adjusted) gain. Israeli residents selling their sole property are generally exempt. Non-residents pay 25% on the gain with no exemption. Tax treaties with the US, UK, France, and Canada may provide relief against double taxation.
Va'ad Bayit
ועד בית · PROPERTY MANAGEMENT
The building committee / homeowners association. Manages shared building expenses: cleaning, elevator maintenance, gardening, insurance. Monthly fees in Jerusalem range from ₪200–800 depending on building size and amenities. In luxury buildings with doorman/pool, fees can reach ₪1,500+/month.
LAST UPDATED: MARCH 2026
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