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How do I remove a mortgage from an Israeli property's title after the loan is repaid?

Repaying the loan does not clear the charge. A mortgage over registered land is recorded under Chapter Six of the Land Law 5729-1969, and it stays on the title until someone files a cancellation. The owner asks the bank for a discharge letter and a signed cancellation deed, then lodges both at the Land Registry office where the property is recorded. Registration usually costs under NIS 200 and takes days rather than weeks, but banks will not start the process unless asked.

Israeli banks close the loan account and stop collecting, then leave the registration alone. The charge remains visible on the nesach tabu, the official title extract, and it will block any future sale, gift, or new mortgage until removed. The procedure has three steps. The borrower requests a discharge confirmation (ishur siluk mashkanta) from the branch that held the loan. The bank issues that letter together with a cancellation instruction signed by authorized signatories, usually within one to two weeks. The owner or their lawyer then files the package at the Land Registry (Tabu) and pays the registration fee.

Two variations matter for owners living abroad. If the apartment is not yet registered in the Land Registry and is held through a chevra meshakenet, the housing company that keeps the ownership records, the discharge is recorded in the company's books instead and the bank's letter goes there. If the loan was secured by a pledge rather than a registered mortgage, the cancellation is filed with the Registrar of Pledges. Either way, an owner overseas can handle all of it through an Israeli attorney under a notarized and apostilled power of attorney. Check the title extract afterward rather than assuming the filing went through.

⚖ In Practice
  • Governing law: Chapter Six, Land Law 5729-1969 (mortgages over registered land); Pledges Law 5727-1967 for charges recorded with the Registrar of Pledges
  • Competent authority: Land Registry (Lishkat Rishum HaMekarke'in, the Tabu), Israel Land Registration and Settlement Authority
  • Fees: approximately NIS 170 to register a mortgage cancellation (2026); an online title extract costs approximately NIS 15
  • Timeline: 7 to 14 business days for the bank to issue the discharge letter; registration is commonly completed within a few days of filing
  • Documents required: bank discharge confirmation, signed cancellation deed, identity documents of the registered owner, and a notarized power of attorney if an attorney files on the owner's behalf

From the full guide: Land Registry & Title Registration in Israel: The Tabu Explained

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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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