Renter's rights in Israel
- A contract can contain almost anything both sides agree upon, excluding illegal provisions. Usually, a lease contract will be of a standardized form- these can be easily found on-line. Note that you have the right to amend it to your wishes. If the contract is signed with a corporation (and this is true to all areas, not just rental) the latter's refusal to amend the contract might be illegal.
- The first rule is always to have everything written down. It's true that verbal agreements do have a binding effect; however, it's hard to prove their existence and details, and usually require the involvement of the court to enforce.
- Whatever you agree on, write down and have both sides sign next to it- every change in a lease contract that hasn't been typed needs both sides' signature next to it to confirm authenticity.
- Verification of details- ask to see the landlord's ID. Technically, you should also verify that he/she is actually the owner of the property, or has the legal right to lease it (as in power of attorney). The most reliable way to verify ownership is via "nesah tabu"- an official government approval (can be found on-line).
Key issues
Length of lease: the standard length of a lease is one year. However, it can be as the sides to the contract agree. The advantage- the tenant is free to leave after at the end of the lease. The disadvantage is that the landlord can raise the rent if the tenant wishes to stay at the end of the lease. The solution to this is the option clause- giving the tenant (and only the tenant) the choice to extend the lease for another term or part of a term on the same conditions (most importantly-rent). Sometimes the rent will be increased by a percentage and sometimes by a set amount agreed by the parties in advance. An option clause that leaves the decision to both parties i.e. the tenant and the landlord, essentially gives the landlord veto power on whether or not the lease will be renewed and is not recommended.
Leaving before the end of the lease: As life is unpredictable, it’s best to add a clause allowing you to terminate the lease early. The standard clause will allow both sides to terminate the lease with proper advance notice (usually 2-3 months). Failing to add this clause means you will be legally obliged to pay full rent until the end of the lease, even if you don't live there. If you would like the option to sublet your apartment, this needs to be stipulated in the contract.
Rent: Up until a year or so ago most rents were quoted in USD. However, this is gradually changing to NIS. In any case, rent is usually paid in NIS, but again- a different agreement can be reached.
- If the rent is quoted in USD- most landlords will insist on setting a minimum exchange rate (such as 4.2), you can try to also insist on a maximum rate, but you're not likely to succeed. The lease must set how the exchange rate is calculated and when (usually- pay day). If there is no set exchange rate, and rent is paid ahead of time- make sure the lease states that both sides will calculate the difference at the end of the lease and make the appropriate payments according to it.
- If the rent is quoted in NIS (recommended) there shouldn't be any special instructions.
Rent is payable according to the terms agreed in the rental contract. You may pay monthly, quarterly, every 6 months or even yearly. Rent is usually due either on the last or on the first day of the month.
Rent cannot be increased unless the lease allows for it, or the option clause states the increase.
Changes to the property: Usually there is a clause in the lease prohibiting the tenant from making changes without the landlord's consent. Essentially the apartment needs to be returned to the landlord in the same condition that you received it at the beginning of the contract. You can, for instance, hang pictures on the walls, but you will need to fill any holes in and brush up the paintwork before you leave.
If your rental apartment was freshly painted before you moved in, you may need to repaint it when you leave. However, the lease must stipulate this, and if it does not, then you are under no obligation to paint the apartment.
Repairs: It is the landlord's responsibility to repair anything that breaks down in the apartment due to normal wear and tear- this should be stated in the lease. It is the tenant's responsibility to repair anything that the tenant (or any visitors) breaks by a willful act or by negligence. You should ask the landlord how to report when something needs to be repaired and you should leave yourself the option in the contract to make repairs yourself if the landlord fails to do so. If you make the repairs yourself, the landlord must reimburse you. It's prudent to add a clause in the lease enabling you to deduct any expenses for repairs from future rent payments- otherwise, this deduction will be considered illegal. It’s wise to do an inspection of the condition of the apartment and its furnishings, and to note any blemishes in the contract itself so that the landlord can’t come to you afterwards and say that you caused the damage. All infrastructure is the landlord’s responsibility (ie pipes, ceiling, walls, etc).
Additional expenses: In addition to the rental payments, the tenant is usually responsible for paying utility bills, municipal taxes on the property (arnona), home owners association fees (va'ad bayit) and ongoing maintenance expenses. It is important to note that new immigrants (olim) can claim an exemption or discount from arnona for the first year after Aliya. To take advantage of this, go to the offices of the municipality and request the reduction. Be aware of bills that do not relate to your apartment specifically. Olim have been duped into paying bills that cover their landlord’s apartment because separate meters weren’t installed. Ask to see your meters (water, electricity, gas) and make sure they are for your apartment only.
Furnishings: Don’t assume that what you see is what you get; make sure that the contract says clearly what the apartment includes. In Israel it is not automatic that an apartment has a fridge, and if you do not have it in the contract, and there happened to be one when you came to see the apartment, don’t assume it will be there when you move in.
Almost every contract includes a clause where the renter waives his rights under the renter’s protection law. As odd as it seems, this clause is almost meaningless, and the renter should not be alarmed at agreeing to sign such a contract, since their rights are still protected despite it. |
