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The most direct answers we can give. No jargon, no small print, and no trying to sell you something in the middle.
short
Ailon's question and answer center collects the most common questions about mortgages in Israel: how much equity is needed, how to build the right mix, when should you refinance, how much does a mortgage consultant cost, and what are the timelines for the process. Each answer is short, direct and grounded.
In a single apartment, the regulatory financing ceiling is up to 75% of the value recognized by the bank, so at least 25% equity and other expenses are usually required. In government housing programs there are special value and equity rules, so you should not rely on a uniform amount without checking the program, the appraisals and the bank.
The banks look at four things: the nature and sequence of income, past payment and repayment habits, the integrity of the bank account, and the borrower's data such as age, marital status and education. The terms of the mortgage are derived from a combination of the borrower's characteristics, the transaction data and the terms of the property.
Approval in principle is a conditional offer by the bank, subject to the verification of the data, documents and property. It is recommended to receive it before signing a contract, check the retention period of the conditions that appears in the document and leave time for completion. The duration of treatment varies according to the bank, the complexity of the case and the completeness of the documents.
Consulting may be valuable when it is necessary to build a mix, compare offers or manage a complex portfolio. There is no fixed savings amount that fits every mortgage. The fees are checked against the documented difference in reimbursement, total cost, flexibility and risks between the alternatives.
A mix is the division of the mortgage between different tracks: linked fixed interest rate, non-linked fixed rate, prime and variable. Each route behaves differently when the interest rate or the index moves. The right mix spreads risk and adjusts the monthly return to your ability and goals.
Start from life and not interest. Determine how much monthly repayment you can comfortably afford, what your goals are for the next five years, and what level of risk suits you. Only then do they divide between the routes and divide the years.
The terms of the mortgage include five components: the composition of the loan between the tracks, the types of loan, the loan period, the interest rates and the monthly repayments, and other conditions such as early repayment fees. Each of them is negotiable.
Comparing interest rates is an orderly appeal to several banks with the same data and the same mix for comparison. The aim is to get offers that are truly comparable, but there is no guarantee that every bank will participate or that the offer with the cheapest interest rate will be the cheapest in total cost.
In government housing programs, special financing and equity rules may apply. The actual amount depends on the contract price, the value sold by the bank, the program, grants and valid instructions. An external loan is not free equity and it increases liabilities and the repayment ratio.
In government housing programs, special value rules may apply. The bank checks the contract price, the recognized value according to the instructions and appraisals, the classification of the transaction and the ability to repay. The regulatory funding cap is not an automatic approval and the actual amount may be lower.
There is no uniform schedule. The dates for choosing the apartment and signing are set in the project, and the approval and execution time depends on the bank, the documents, the appraisals, the collateral and the payment schedule. It is recommended to start with an ability test and approval in principle before making a commitment and leave room for completion.
There is no need to wait a fixed number of years. You should check recycling when interest rates, income, desired repayment or family goals have changed. The decision is made only after comparing the loan balance, the repayment fee, the costs, the new offer and the total payment in identical scenarios.
An early repayment fee may apply, especially in fixed interest routes. The commission must be calculated against the expected savings throughout the rest of the period. If the recycling is not profitable, a decent consultant will tell you this in advance and will not continue the process.
not necessarily. Recycling can shorten the period, extend it or leave it as it is. The choice depends on your goal: lowering the monthly repayment, shortening the period or reducing the total interest paid.
In Ailon, the first call is free of charge. The fee is determined in advance in writing according to the complexity of the case, and is not a percentage of the mortgage amount. We do not receive a commission from any bank, so we have no interest in directing you to a particular financing body.
The bank clerk represents one bank and receives targets from his branch. An independent consultant applies to several banks at the same time and creates real competition for the client. Both sides are decent, but only one of them works for you alone.
One bank's offer is not a market comparison. A consultant can help build a mix according to needs and compare several offers on the same basis. The value is measured by the documented difference in cost, return, flexibility and risk, and not by a general guarantee of interest or savings.
yes. The offices are in Or Yehuda, but Ailon accompanies clients nationwide and a large part of the process is carried out remotely. The face-to-face meetings are held as needed and by prior arrangement.
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Call or leave details. We will answer any question, even if you end up not working with us.
We do not receive commission from any bank. never.
