Buying New Construction in Israel from Fortaleza
Buying New Construction in Israel from Fortaleza
New towers along the seafront in Fortaleza have made many buyers in Ceará familiar with purchasing a flat before it exists. Israel has a very active market for new construction too, from high rise buildings near the Tel Aviv coast to entire new districts in growing cities. The Israeli system gives buyers strong legal protection, but only if the process is followed correctly and each payment is secured. This guide explains the guarantees required by law, how to choose a scheme, the contract terms that matter, how to send funds from Fortaleza in stages, how to follow the works from afar and what to do at delivery and registration.
Guarantees required by law
Under the Israeli Sale Law, a developer who receives money before handing over a flat must protect it, usually through a bank guarantee or an insurance policy. Each payment is made using a voucher linked to the project account at the accompanying bank, and a guarantee is then issued in the buyer's name.
If a developer suggests paying in another way, stop and consult your lawyer. The protection depends on following the mechanism exactly.
How to choose the scheme
Look at the developer's completed projects and visit one if possible. Confirm the building permit status and the name of the accompanying bank. Compare the technical specification carefully, including finishes, air conditioning, parking, storage and the size of balconies.
Location inside a city matters as much as the developer. A tower beside a future light rail station, a neighbourhood where schools are still being built or a plot next to a main road will each feel very different in daily life. Ask the municipal planning department, or your local team, what else is approved around the site.
Track record of completed buildings
Permit issued or pending
Accompanying bank named in the contract
Detailed technical specification
Contract and negotiation
Standard developer contracts often favour the developer. Your own Israeli lawyer can negotiate points such as delivery dates, compensation for delay, how payments are indexed, the timetable for requesting internal changes and what happens if the plans are modified. Never rely only on the sales team's explanations.
Transfers from Fortaleza in several stages
Payments usually follow construction milestones, so money will leave Brazil several times. Each transfer should go through an authorised bank with the correct exchange contract. Currency movements can make later instalments more or less expensive in reais. A Brazilian accountant will advise how to record each payment on your tax return while the flat is still under construction.
Following the works from a distance
Ask the developer for regular progress reports and photos. A local representative or engineer can visit the site at key moments. Keep all payment vouchers, guarantees and correspondence in one organised folder, since your lawyer and your accountant will need them.
Delays are common in Israeli construction, often linked to labour supply, permits or infrastructure connections. Build some slack into your own plans, especially if the flat is meant to house relatives or to start earning rent at a certain point. If you intend to furnish it remotely, line up a trusted supplier well before delivery.
Delivery and inspection
Before accepting the keys, have an independent engineer inspect the flat and record defects in a written report. The developer must repair defects within legal periods, and the report is your evidence. Check that the occupancy certificate has been issued and that utilities are connected.
Taxes and final registration
Israeli purchase tax is paid shortly after signing. Registration of the flat in your name at the Land Registry may only happen once the whole building is registered, and until then your rights are protected by a caution note. In Brazil, the asset is declared based on the amounts actually paid. An Israeli tax advisor and a Brazilian accountant should confirm the details.
Frequently asked questions
Is my money safe if the developer fails
Payments made through the proper mechanism are protected by guarantees. Your lawyer confirms that each guarantee is valid.
Can I visit the site from Fortaleza
Not easily, so ask for regular photos and consider hiring a local engineer for key inspections.
What if the finished flat differs from the plans
The contract and the law provide remedies. Your inspection report and lawyer will help you claim them.
How do I record instalments in Brazil
Usually by the amounts paid each year. A Brazilian accountant will show you the correct way.
Elkayam Group
Elkayam Group began as a family concern in the forties and its third generation now runs Kobi Elkayam Real Estate Ltd from Rival Street 37 in Tel Aviv. New construction is close to our daily work, alongside urban renewal, pinui-binui, TAMA 38 and combination deals, all carried out with partner firms and backing companies that let us offer guarantees. In Hebrew, English and French, we help buyers abroad make sense of developer contracts together with their own lawyers.
Considering an Israeli new build from Fortaleza. Send us the details and we will help you review them.
+972-53-658-4252 · support@kobielkayamrealestateltd.com · Rival St 37, Tel Aviv