Buying New Construction in Israel from Brasilia
Buying New Construction in Israel from Brasilia
Brasília was designed and built from a master plan, and people who live there often appreciate the logic of new developments with clear layouts and modern services. Israel has many new construction schemes, from towers in Tel Aviv to new neighbourhoods in growing cities, and buying off plan is common. The process is protected by law, but a buyer abroad must understand how that protection works and what to verify before paying. This guide explains the guarantee mechanism, the questions to ask about a scheme, contract points to negotiate, staged transfers from Brazil, handover and registration.
The guarantee mechanism under the Sale Law
Israeli law requires developers to protect payments made before delivery, most often with a bank guarantee or an insurance policy issued for each instalment. Payments should go to the project account overseen by the accompanying bank, using the payment vouchers the bank provides.
Your lawyer should check that the guarantee is issued in your name, that it matches each payment and that it is kept safely until you receive the keys and the property is registered.
Buyers sometimes assume that paying a reservation fee to a sales office is covered in the same way. That is not always true, so ask your lawyer before paying anything, however small, and keep proof of every transfer.
Questions before choosing a scheme
Ask about the developer's completed projects, the building permit, the accompanying bank, the delivery timetable and the specification. Visit a completed building by the same developer if you can, and speak with residents about quality and after sales service.
Is the permit issued or still pending
Which bank accompanies the project
What specification is attached to the contract
How are delays compensated
Contract points to negotiate
Developers present standard contracts, but some terms can be discussed with your lawyer, including the delivery window, compensation for delay, indexation of payments, the cost and deadline for internal changes and the storage or parking rights attached to the flat.
Staged transfers and currency exposure
Payments spread over the construction period mean several transfers from Brasília, each at a different exchange rate. Some buyers plan reserves in advance, others transfer when each payment falls due. Keep in mind that payments are often linked to a construction cost index, so the amount due at each stage may differ from the figure in the original schedule, and your budget should leave room for that. A Brazilian accountant should advise on the declarations required for each stage and on how to report an asset still under construction.
From building site to handing over the keys
Request periodic progress reports and photos. Before accepting delivery, hire an independent engineer to inspect the flat and list defects. The law gives the developer responsibility for repairs during set periods, and a detailed inspection report strengthens your position.
New schemes in planned cities
Modiin, Harish and new neighbourhoods in Beersheba and Ashdod were planned from the ground up, with parks, schools and road networks designed before construction. Buyers from Brasília often find this logic familiar. Compare schemes by guarantee, timing and specification rather than by marketing images.
A new neighbourhood also takes years to mature. Schools, shops and bus routes may open in stages, and the first residents can live beside active building sites for some time. Ask the municipality or your local team which public buildings are planned, and think about whether the family will use the flat before or after the area is complete.
Taxes and registration
The buyer pays Israeli purchase tax within set deadlines after signing, and later the property is registered in the buyer's name, sometimes only after the whole building is registered. In Brazil the asset is declared according to amounts paid. Consult an Israeli tax advisor and a Brazilian accountant.
Frequently asked questions
Are guarantees issued for every payment
They should be. Your lawyer checks that each payment through the bank vouchers is matched by the corresponding guarantee.
Can I negotiate a standard developer contract
Some terms can be discussed, especially delivery dates, delay compensation and internal changes. Your lawyer leads that negotiation.
Should I hire an engineer at handover
Yes. An independent inspection documents defects and supports your requests for repairs within the legal periods.
When is the flat registered in my name
Often after the building is registered as a condominium, which can take time. Your lawyer protects you with a caution note in the meantime.
Elkayam Group
Kobi Elkayam Real Estate Ltd is the real estate company of Elkayam Group, whose family roots in industry go back to the forties and whose leadership is now in its third generation. From Rival Street 37 in Tel Aviv we handle development, urban renewal, pinui-binui, TAMA 38 and combination and other complex deals together with backing companies and partners, and we can provide guarantees. We speak Hebrew, English and French and help buyers abroad work with the right lawyers and engineers.
Evaluating a new build from Brasília. Contact us and we will review the scheme together.
+972-53-658-4252 · support@kobielkayamrealestateltd.com · Rival St 37, Tel Aviv