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What is a co-ownership agreement (heskem shituf) in Israel and does it bind a future buyer?

A co-ownership agreement is a contract between the joint owners of one property that sets out how it is managed and what each owner may do with their share. Section 29 of the Land Law 5729-1969 gives it real force: once the agreement is registered against the title at the Land Registry, it binds anyone who later becomes a co-owner, including a buyer of one owner’s share and an heir who inherits it. An unregistered agreement binds only the people who signed it. Registration is made at the Land Registry office that holds the property file.

Without an agreement, the default rules in Sections 27 to 36 of the Land Law apply. Each co-owner holds an undivided share in the whole property, ordinary management decisions are taken by a majority of the shares, and no owner may exclude another from any part of the building. A registered co-ownership agreement replaces those defaults with whatever the owners have agreed: exclusive use of a specific apartment or floor, a formula for splitting maintenance and property tax, restrictions on letting, and a mechanism for one owner to buy out another. The Land Registry records a note on each owner’s share pointing to the agreement, which is how a future purchaser is fixed with notice of it.

For siblings or cousins abroad who inherit or buy an Israeli apartment together, this is the single most useful document to put in place, and the right moment is when the purchase or the transfer of title is registered. Signing it later is possible but requires everyone to cooperate a second time. Two limits are worth knowing. The agreement does not remove the right of any co-owner to demand dissolution of the co-ownership under Section 37, and an undertaking not to demand dissolution holds for a limited period only. Our guide to co-ownership of property in Israel explains how forced sale works when relations break down.

⚖ In Practice
  • Governing law: Sections 29 and 37, Land Law 5729-1969
  • Competent authority: Land Registry (Lishkat Rishum HaMekarke’in, commonly Tabu), Corporations and Land Registration Authority
  • Registration fee: approximately NIS 180 per registration action (2026), plus the notarial cost of authenticating signatures made abroad
  • Timeline: registration is normally completed within 2 to 6 weeks of lodging a complete file
  • Limit to note: an undertaking not to demand dissolution of the co-ownership is enforceable for up to three years at a time under Section 37(b)

From the full guide: Co-Ownership of Property in Israel: Rights, Disputes, and Forced Sale

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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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