New Construction in Hod HaSharon for American Buyers
New Construction in Hod HaSharon for American Buyers
Much of the recent growth in Hod HaSharon has taken the form of new residential neighborhoods with mid-rise and high-rise buildings, alongside renewal of older blocks in the city center. For American buyers, a new apartment is attractive because it requires little maintenance and meets current building standards. Buying off-plan, however, means signing for something that does not yet exist, often from thousands of miles away. This guide explains the Israeli safeguards for buyers of new homes, how payments are usually structured, what to check in the specifications and how to handle the handover when you are not in the country.
Where new building is happening
New construction in Hod HaSharon has concentrated in expansion areas such as Gil Amal and other districts on the city edges, along with renewal projects replacing older buildings closer to the center. Each area has a different timetable for schools, commercial centers and roads, so ask the municipality about the planned public facilities around any project you consider.
A site visit, or a detailed video visit, helps you understand the surroundings beyond the marketing plan.
Buyer protections under Israeli law
Israeli sale law requires developers of new apartments to secure buyers payments, commonly through a bank guarantee or insurance policy. Your lawyer should confirm that each payment is covered and that it is made into the correct project account. Without that security, you should not transfer funds.
The law also sets rules on delays and on disclosure of the technical specification. Your lawyer explains how these apply to your contract.
Reading the specification and plans
Size of the apartment and balcony as defined in the contract
Location of parking and storage and whether they are registered with the unit
Kitchen, bathroom and flooring standards, and the options for upgrades or credit
Orientation, views and what may be built in front of you
The protected room and its placement in the layout
Payments and currency planning
Payments in off-plan purchases are usually spread over the construction period and may be linked to a construction cost index. For Americans who earn in dollars, currency movements add another layer. Speak with your bank about transfer timing and discuss with your US CPA how the purchase will be reported.
Signing and managing from the US
A power of attorney allows your lawyer to sign the contract and later documents such as registration forms. Keep it specific enough to protect you, and ask whether it must be signed before an Israeli consul or with an apostille.
Schedule regular updates with the developer through your lawyer, keeping the time difference in mind. Ask for photos of construction progress and copies of any change notices.
Handover and inspection
When the apartment is ready, arrange an independent engineer to inspect it and document defects. If you cannot attend, a representative can accept the keys on your behalf. Israeli law provides warranty periods for certain defects, and a written list at handover is your starting point for repairs.
Questions to ask before you reserve
Before paying a reservation fee, ask who the contractor is, which bank supervises the project and whether a building permit has been issued. Ask what is included in the price, what counts as an upgrade and how changes are documented. Your lawyer can request the relevant documents and explain what each one means for a buyer living in the United States.
Frequently asked questions
Is my money protected when buying off-plan
Israeli law requires the developer to provide security such as a bank guarantee for payments. Your lawyer should verify it before each transfer.
Can I change the apartment layout
Many developers allow limited changes within a set deadline. Get any agreement in writing and understand the cost.
What happens if the project is delayed
The contract and Israeli law address delays. The consequences depend on the terms, so review them with your lawyer.
Do I need an engineer at handover
It is strongly recommended. An independent inspection documents defects so they can be repaired under warranty.
Elkayam Group
Elkayam Group, the trading name of Kobi Elkayam Real Estate Ltd at Rival Street 37 in Tel Aviv, has a family background since 1945 and three generations of hands-on experience. We work in development, urban renewal, pinui-binui and combination deals, with backing companies and partners that can provide guarantees, and our team explains every step in English.
Evaluating a new build in Hod HaSharon Speak with our team before you sign.
+972-53-658-4252 · support@kobielkayamrealestateltd.com · Rival St 37, Tel Aviv