Real Estate

Can a foreign non-resident lease land from the Israel Land Authority?

Yes, in most residential cases. Roughly 93% of land in Israel is state land managed by the Israel Land Authority (Rashut Mekarkei Yisrael), and it is held under long-term lease (chochira) rather than full ownership. A foreign non-resident can usually buy into or take a long-term residential lease on Israel Land Authority land in the same way an Israeli buyer does. Agricultural plots and certain Jewish National Fund lands carry eligibility limits and need Authority consent before transfer to a non-citizen.

Israel Land Authority land is governed by the Basic Law: Israel Lands and the Israel Land Authority Law 5720-1960, which prohibit the outright sale of state land and instead grant long-term leases, commonly 49 or 98 years and routinely renewed. When you buy most apartments in Israel you are often acquiring a registered lease, not freehold ownership (baalut). For ordinary urban residential property the Authority does not bar foreign nationals from holding that lease, and the transaction registers at the Land Registry (Tabu) like any other. Restrictions apply mainly to agricultural land and to plots that originate with the Jewish National Fund (Keren Kayemet LeYisrael), where allocation and transfer rules can require Israeli citizenship or residency.

Before committing, a foreign buyer should check the nature of the title on the nesach tabu (Land Registry extract): freehold, a registered Authority lease, or unregistered rights. A property described as held under chochira is leased from the Authority, and assigning that lease to a new lessee usually needs the Authority's written consent plus a consent fee (dmei haskama). For agricultural or moshav land the picture is more complex and approval is far from automatic. Engaging an Israeli real estate lawyer to review the lease terms and confirm transferability is the practical safeguard. Our leasehold versus freehold guide explains how to read these distinctions.

⚖ In Practice
  • Governing law: Basic Law: Israel Lands; Israel Land Authority Law 5720-1960
  • Competent authority: Israel Land Authority (Rashut Mekarkei Yisrael)
  • Lease term: commonly 49 or 98 years, renewable; outright sale of state land is generally not permitted
  • Foreign eligibility: generally open for urban residential leases; agricultural and Jewish National Fund land carries citizenship or residency restrictions and needs Authority consent
  • Transfer cost: assignment of an Authority lease often triggers a consent fee (dmei haskama); confirm the title type on the Tabu extract before signing

From the full guide: Leasehold vs Freehold in Israel: A Property Buyer's 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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