Free Tool
Affordability Calculator
Find out how much you can borrow for a property in Israel based on your household income. Uses the Bank of Israel's official 40% payment-to-income limit.
Your Income
Bank of Israel Regulation
The Bank of Israel limits total monthly mortgage payments (across all tracks) to 40% of your gross monthly household income. This is a hard ceiling, no Israeli bank can exceed it regardless of your other financial assets or credit history.
Additionally, LTV limits cap how much of the property value you can finance: up to 75% for Israeli citizens and olim chadashim, and 50% for foreign buyers.
Max Monthly Payment
₪10,000
40% of ₪25,000 income
Max Loan Amount
₪1,628,432
At 5.5% over 25 years
Max Property Price by Buyer Type
Based on your maximum loan of ₪1,628,432 and LTV limits
Israeli Citizen
Max LTV: 75%
₪2,171,243
max property price
Oleh Chadash
Max LTV: 75%
₪2,171,243
max property price
Foreign Buyer
Max LTV: 50%
₪3,256,864
max property price
These calculations assume your income is fully documented and verifiable. Self-employed borrowers or those with variable income may receive different assessments. Banks also consider existing debts, which reduce your available payment capacity.
How Affordability Is Calculated
Israeli banks use two main constraints to determine your maximum mortgage: the payment-to-income ratio (PTI) and the loan-to-value ratio (LTV). The stricter of the two determines your actual limit.
The PTI rule says your total monthly mortgage payments cannot exceed 40% of your gross household income. This calculator reverse-engineers the maximum loan amount from that limit using the standard amortization formula.
The LTV rule caps the percentage of the property value you can borrow. For Israeli citizens and olim chadashim it is up to 75%, and for foreign buyers just 50%. Your actual buying power depends on both your income and the cash equity you have available.
Note: This is an estimate. Your actual eligibility depends on your full financial profile including existing debts, employment status, and the specific bank's criteria.
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