Interest Rates
Current Mortgage Rates in Israel
Typical interest rate ranges across Israel's major banks, by mortgage track. Use this as a starting reference, your actual rate depends on your profile, LTV, and loan amount.
Important: These rates are approximate ranges based on recent market observations and are for informational purposes only. Actual rates change daily and depend on your personal financial profile, loan amount, LTV ratio, and the bank's current appetite. Always contact us for a personalized, up-to-date quote.
Rate Comparison by Bank
Rates shown are typical ranges for a standard first-apartment mortgage. Better rates are often available for larger loans, lower LTV, and strong financial profiles.
Bank Leumi
Bank Hapoalim
Discount Bank
Mizrachi Tefahot
FIBI (Benleumi)
How to Read These Rates
Understanding what each track means is essential before comparing rates. A lower rate does not always mean a cheaper mortgage, it depends on the type of risk you are taking on.
Prime
Higher riskVariable rate tied to the Bank of Israel prime rate (currently 6.0%). Rates are quoted as prime minus a discount (e.g., P-0.50% means 5.50%). Your payment changes every time the Bank of Israel adjusts rates.
Best for
Borrowers who expect rates to stay flat or decline, or who want the lowest initial payment.
Fixed CPI-Linked
Medium riskThe interest rate is locked for the entire loan term, but your outstanding balance adjusts with the Consumer Price Index (inflation). If inflation is 3%, your balance grows by 3% that year.
Best for
Borrowers who want rate certainty and believe inflation will remain moderate (under 3%).
Fixed Non-CPI
Low riskBoth the interest rate and the loan balance are fixed, no adjustments for inflation or rate changes. The most predictable track, but typically carries the highest interest rate.
Best for
Borrowers who value complete payment certainty above all else.
Variable CPI-Linked
Higher riskThe interest rate resets every 5 years based on market conditions, and the balance adjusts with CPI. Offers the lowest starting rate among CPI tracks but carries both rate and inflation risk.
Best for
Borrowers comfortable with uncertainty who want the lowest possible CPI-linked rate today.
What Affects Your Personal Rate
Loan-to-Value (LTV) Ratio
The less you borrow relative to the property value, the better your rate. A 50% LTV will get significantly better rates than a 75% LTV. This is the single biggest factor in rate pricing.
Loan Amount
Larger loans (above 1 million NIS) often qualify for better rates because they are more profitable for banks. If you are borrowing less than 500,000 NIS, rates may be slightly higher.
Income & Employment Stability
A stable salaried position with an established employer gets the best treatment. Self-employed borrowers, freelancers, and those with variable income may see slightly higher rates or stricter requirements.
Buyer Status
First-time buyers, olim, and returning residents may qualify for different rate structures compared to investors or second-property buyers. Each bank has its own policies and promotions for different buyer segments.
Loan Term
Shorter loan terms (15–20 years) typically get slightly better fixed rates than longer terms (25–30 years), because the bank's risk exposure is shorter.
Timing & Bank Appetite
Banks adjust their pricing based on internal lending targets. A bank that needs to hit a quarterly target might offer exceptional rates for a few weeks. This is why comparing across all banks at the same time is so important.
A Note on Rate Accuracy
The rates on this page are indicative ranges based on recent market activity and are updated periodically. They are not binding offers. Actual rates change frequently and vary based on individual circumstances. The only way to know your real rate is to submit a formal application, which is exactly what I do on your behalf, across all banks simultaneously, to ensure you get the best available deal.
Want to Know Your Actual Rate?
These ranges are a starting point. Let me run the numbers for your specific situation and show you exactly what each bank is willing to offer. Free, no obligation.