Buying an apartment right after making aliyah

amother

Coral

Tue, Jun 20 2017, 5:47 pm

I was just wondering how many people over here actually decided to buy an apartment (rather than renting) right after making aliyah. We're not thinking of moving anywhere at or near Jerusalem. It would be somewhere in the center. My husband thinks we should just buy an apartment, but I'm wondering how difficult is it for a new olim family? Also, how much did nefesh b'nefesh help you with mortgage payments? did you get any sort of discounts as olim? I know a house would be out of the question because it's too expensive, so something like a town house/ garden apartment. We never really moved and we're not big fans of moving (especially with kids) too many times, so we were thinking of settling down and just buying.

amother

Seafoam

Tue, Jun 20 2017, 9:49 pm

It's true that housing in Israel is expensive and keeps rising. But you really need to be happy where you live before putting down a lot of money. We rented for a few years when we made aliyah and eventually bought in a different neighborhood of the same town.

As far as I know, no one helps with a down payment. Put the money in a safe place (municipal bonds or the like, depends on your risk tolerance) and rent.

ETA: I believe olim get a break on the purchase tax of a new home, but not if it's very expensive. You're also entitled to a major break on Arnona, property tax, your first year. This is good to know because generally tenants pay Arnona separately from rent.

asp40

Thu, Jun 22 2017, 12:51 am

I would not recommend this. Rent for a year where you think you want to buy. Then if you love it, buy. But if you don't love it, keep looking.

asp40

Thu, Jun 22 2017, 12:53 am

Also, there is a big misconception about Nefesh Bnefesh. They are not the ones providing you with aliyah benefits. That is all from the State of Israel. Nefesh Bnefesh does have some grants that they distribute, but that is an extra. All. Other discounts and monthly payments you receive in your sal klita is all from the government.

jkw

Tue, Aug 01 2017, 11:51 am

We bought right away but we already had stayed in the area so we already liked it. But if you don't know then renting is best. Try to do a 5 year rental so you don't have to keep moving.

ra_mom

Tue, Aug 01 2017, 12:19 pm

If housing costs keep rising, why not purchase right away and if you're not happy sell and buy elsewhere? At least your money will have already grown along with the market.

amother

Seafoam

Tue, Aug 01 2017, 12:34 pm

ra_mom wrote:

If housing costs keep rising, why not purchase right away and if you're not happy sell and buy elsewhere? At least your money will have already grown along with the market.

Because real estate is not liquid. It's true that housing prices are rising, but that doesn't mean that every single apartment will go up in price and sell just when you need to.

FranticFrummie

Tue, Aug 01 2017, 12:40 pm

N b'N advises that you rent for 2 years before you buy.

Your community, shul, and most importantly your kids' schools will all play a HUGE part in where you decide to stay. All kinds of unexpected things can come up that could change your mind.

You'll breathe easier knowing that you have flexibility and options, and that you're not tied down to a certain area. Unless you already have a lot of close family or friends in that neighborhood, I strongly suggest you try before you buy.

shabbatiscoming

Thu, Aug 03 2017, 3:17 am

OP, nbn doesnt help with mortgage payments (I dont think anyone does)
but it really makes sense to first rent to make sure you like the area.
And as for buying and then selling when and if you want to move, you dont know when or if the market will shift and you could end up having a house on the market for years (I know people like this)

amother

Ruby

Thu, Aug 03 2017, 4:34 am

If you're smart and know where to buy, it could be easy to sell whenever you need. Bh we found buyers within a week of putting our first property on the market, and within 3 weeks for our second. Location!