General market situation in Herzliya Pituach:
In spite of the recent recession in the real estate business all over the world, and the decrease in the number of potential clients coming from abroad to buy in herzliya Pituach prices here are still keeping stable level.
The clients from abroad were partially replaced by the local Israelis who found the investment in real estate (versus in finance) more attractive.
We also meet some Israeli clients who seek to improve their living standards.
I highly recommend a visit to Herzliya Pituach for few days in order to study the market and make a decision.
Prices
Important: Please note that in spite of the fact that prices are sometimes quoted in dollars the final payment will have to be in Shekels, unless the owner agrees to receive a money transfer from foreign currency bank account to his foreign currency bank account. In case of payment by shekels you should ask your bank about the fee involved in converting your foreign currency into Shekels.
Prices in Herzliya Pituach real estate are determined by many factors:
1. Location:
- Lowest level location is the strip along the Tel Aviv – Haifa highway (Highway no.2)
- Low level location – 4 main streets of Herzliya Pituach (usually more noisy than others):Medinat Hayehudim, Hanasi, Wingate and Keren Hayesod.
- Better location – quiet streets east of Hanasi st. ( 8-20 minutes walk to the beach)
- Good location – quiet streets west of Hanasi st. (2-8 minutes walk to the beach)
- Prime location – the streets Galei Techelet, Ha’eshel, Kaplan, havazelet Hasharon, Hama’apilim, Ben Eli’ezer, Hakidma.
On most of these streets, only one house can be build on 1000 sq/mtrs plot unlike 2 houses in the rest of Herzeliya Pituach. It is therefore less dense and is considered more exclusive location.
2. Size of the plot and the house
The value of the plot in most of the cases is 60-80% of the property price (dependant on the house standard).
3. Age of the house
- Up to 8 years – considered as new house.
- 8-15 years – needs cosmetic or partial renovation.
- 15-30 years – needs total renovation (water and electricity installations, kitchen, bathrooms, doors, windows, tiles etc.).
- 30 years+ – to be partially or totally demolished.
4. Position of the house on the plot
- Does it leave space for garden, pool or for both?
- Does it have garden, south (sunny) or in the north (lot of shade) of the built area?
- Is it a front house or back house – most of the houses in Herzliya are built 2 houses on one plot of 1000 sq/mtrs – one in the front (close to the street) and the other in the rear part – some like it one way and other buyers like it the other way. A back house on a main street is considered a better house.
Negotiation:
Asking prices can be negotiated as much as 3%-6% down but this is not a general rule. Usually after you decide about the possible houses in question, Uri Tal will give you a detailed history of the previous negotiations for each property and will guide you to get the best possible deal ( This is Uri’s main job). Some of the owners quote fixed prices (not for negotiation). While presenting each property Uri Tal will mention the type of the price quoted.
Monthly Expenses
You should take into consideration the following expenses (caculated for a house of 400-500 sq/mtrs plot and 250-300 sq/mtrs built):
Municipality tax – $250 (depend on only on size of the house)
Water – $ 70 (consumption according the garden size)
Gardner – $ 350 (according the garden size )
Electricity – per consumption.
Pool maitenence- $200
Buying expenses
Broker comission fee – 2% + v.a.t.
Lawyer -1% + v.a.t.
Purchase tax – 8%
If you have any other questions please do not hesitate to ask as much as you need, in order to get the best picture of the market as well as general information (schools, synagogues, distances, shopping centers, public transportation, banks, medical services, calture etc.)
Municipality master plan (building rights)
Allowed built area is calculated as % of the plot area
Ground level one story house – 25%
Ground level one story house with additional split level – 30%
Full rights for 2 floors house:
18% ground floor
18% first floor
12% loft (60% of the floor under the loft) only under tiled roof.
18% basement (and not beyond ground floor boundaries).
_____
66% total
Extra permitted rights against extra payment:
6% total additional building rights – unconditioned
5% ” ” ” ” – if elevator is included in the plan.
Additional building rights regardless of plot size (no extra payment)
12.50 sq/mtrs. For security room.
12.50 ” / ” For a storage/utility room (attached to the garage)
30.00 ” / ” For a double parking garage
Total rights including paid rights 77%
Total additional fixed permitted areas 55 sq/mtrs.
