Selling property in Tel Aviv might not be smooth enough to satisfy your hope. Therefore, one of the easiest ways of navigating the maze of legal contracts, tax, payment schedules and more payment schedules in advance. If you are going to sell your property in Israel, you should know five important things to consider in this context.
- Each of the real estate transaction in Israel includes two basic taxes such as purchase tax paid by the buyers and capital gains tax paid by the sellers. If you are selling a residential property such as house or apartment, you should consult with one of the best real estate agents in Tel Aviv. Apart from the agents, you should also take the help of an attorney before signing the agreement regarding the selling of the property in order to check whether there will be any capital gains tax and if yes, then how much it will be.
- Usually, the sellers who own only one apartment at a time can be exempted from the capital gains tax once every four years. To determine the tax liability, the tax authorities investigate the family as a unit. A family including husband, wife and minor children are 4 considered as a family unit. If one member of the family has an apartment, that apartment is considered to be one owned by the other family members as well. If you want to have an apartment in your single name and another one with your spouse, you should, you will be treated by the tax authority as if you are the owner of two properties. In such a case, you should wait four years after the selling of your first property in order to get the full capital gains tax exemption for the selling of your two properties.
- If you are not receiving a huge amount of profit, you would not be asked for an exemption. You would be able to use the exemption for another sale.
- If your apartment is inherited by you and you are eager to sell another apartment in the near future, you should have some tax planning at this point in order to determine the order in which the properties would be sold minimizing the tax liabilities.
- When you are selling the property at a profit, then you would be expected to consider the expenses and other legal fees along with the fees of your real estate agents in Tel Aviv from the purchase and the sale of the apartment, interest on the mortgage, purchase tax during the deal of the apartment etc.
If you want to sell property in Tel Aviv, first of all, you study the current market rate and the points discussed above. Real estate agents in Tel Aviv can help you regarding the dealings of the property in Tel Aviv.