Real Estate

Can a foreign national purchase agricultural land in Israel?

Foreign nationals can legally purchase privately-owned agricultural land in Israel, but such land is rare. Approximately 93% of Israeli land is state-owned and administered by the Israel Land Authority (Rashut Mekarkei Yisrael, RMI) under long-term leasehold arrangements rather than freehold titles. Converting agricultural zoning to residential or commercial use requires a separate planning process that can take years. Moshav and kibbutz cooperative plots cannot be transferred to non-members without cooperative approval, making them effectively unavailable to most foreign buyers.

The legal framework for agricultural land in Israel rests on three main pillars: the Lands Law 5729-1969, the Israel Land Authority Law 5720-1960, and the Agricultural Settlement (Restrictions on Use of Agricultural Land and Water) Law 5727-1967. Together, these statutes establish state ownership of the vast majority of Israeli land and vest administrative authority in the RMI, which typically grants use rights through 49-year or 98-year leasehold contracts rather than selling freehold title. When agricultural land is sold privately — the fraction not owned by the state — a foreign buyer goes through the same general property purchase process applicable to any non-resident acquisition, including registration at the Land Registry (*Tabu*). However, the agricultural zoning designation (*yyiud choklai*) restricts what the buyer can build or operate on the land without a formal rezoning application to local planning authorities.

The most common trap for foreign buyers involves moshav and kibbutz plots marketed as "agricultural land." These plots are held under cooperative arrangements governed by the Agricultural Settlement Law, and membership in the cooperative is a legal precondition of occupancy and use — not a formality that can be waived by paying the purchase price. Most cooperatives require members to be Israeli citizens or permanent residents with specific agricultural backgrounds. A foreigner who purchases such a plot without understanding this constraint may find themselves unable to register the transfer or exercise any meaningful rights. For agricultural land not subject to cooperative arrangements, foreign buyers should commission a full title and zoning review before signing any preliminary agreement.

⚖ In Practice
  • Governing law: Lands Law 5729-1969; Israel Land Authority Law 5720-1960; Agricultural Settlement Law 5727-1967
  • Competent authority: Israel Land Authority (Rashut Mekarkei Yisrael) for state-owned land; Local Planning and Building Committee for zoning changes
  • Purchase tax: non-resident buyers pay 8% on the full consideration (2026 rate, applies equally to agricultural land)
  • Rezoning timeline: converting agricultural designation to residential or commercial use typically takes 2–5 years and is not guaranteed
  • Cooperative land: moshav or kibbutz plots require formal cooperative membership approval — a cooperative veto blocks any transfer to an outside buyer

From the full guide: Buying Property in Israel as a Non-Resident: A Complete Legal Guide


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Get a Free Consultation with Adv. Eli ShimonyPrepared under the direction of Adv. Eli Shimony, Eli Shimony Law Office · Editorial policy

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