Ready for a mortgage?
7 yes/no questions. The score will show where you stand — and what needs fixing before you walk into the bank.
It's not the time yet. Build an emergency fund, stabilize your income, and accumulate equity before you approach the bank.
About this quiz
Israeli mortgage approval rests on five hard requirements and several soft ones. The hard requirements come from Bank of Israel directives: maximum loan-to-value of 75% for a first home, 70% for upgraders, 50% for an investment property; maximum debt-to-income (PTI) of 40% (often capped lower by individual banks); and minimum income documentation (three months of payslips or 12 months of self-employed income statements). The soft requirements come from the bank's own underwriting — credit history, employment continuity, account behaviour, and a stable savings record.
This checklist scores all seven items binary (yes/no) and weighs them by typical underwriting impact. The result tells you whether you are likely to get a no, a partial approval at unfavourable terms, or a clean approval at competitive terms. The point is not to game the bank — it is to identify which of the seven items will cost you in interest if you walk in without addressing it.
Israeli mortgages typically combine three or four tracks (maslulim): a fixed nominal portion, a fixed CPI-linked portion, and a prime-linked or variable portion. Getting the best mix requires showing strength on all seven items. A single weak item (e.g. high consumer debt, or under 25% down payment) usually means the bank pushes you to a higher rate or a smaller approval.
How it's structured
Seven yes/no items: down payment ≥ 25% of property value; debt-to-income ratio < 30% (before mortgage); stable employment 2+ years (or 12+ months self-employed); 3-6 month emergency fund; no consumer debt > ₪50K; credit history clean (no defaults in last 4 years); spouse/co-borrower also stable. Each yes adds points; the composite is 0-100. The recommended actions surface based on which items came up as no.
How to read your result
85-100 — Ready. Walk into the bank, request three quotes, negotiate hard. Strong files often get 0.3-0.5 percentage points below the bank's opening offer.
65-84 — Mostly ready. One or two items dragging you down. Fix the weakest before applying. Typical fixes: pay off a consumer loan, top up the down payment, formalize employment status.
40-64 — Not yet. Multiple items pulling the score. Don't apply yet — the bank's answer at this stage anchors what they offer later. Address the gaps over 6-12 months.
0-39 — Long way to go. Either income, savings or debt is significantly off-target. Often this means waiting 18-24 months and rebuilding the file. The mortgage decision is one of the most expensive lifetime decisions; rushing it costs hundreds of thousands.
What to do next
Test affordable price ranges with the mortgage calculator. Confirm net income capacity in the net salary calculator. Review household cash flow in the budget calculator. For deeper Israeli mortgage strategy (track mix, fixed vs variable, recycling) see the mortgages guide.
FAQ
What is the LTV cap in 2026?
75% for first-time buyers, 70% for upgraders, and 50% for investment properties. The Bank of Israel sets these as macroprudential limits.
How strict is the 40% PTI cap?
It is a regulatory ceiling. Most banks individually cap at 35%. Strong files (high income, large down payment, stable employment) sometimes get exceptions up to 40%.
Do banks check spouse's file?
If both borrowers are on the mortgage, yes — both files are evaluated. A weak co-borrower can drag down approval. Sometimes only one spouse is on the mortgage for this reason.
Is the emergency fund really required?
Not explicitly by the bank, but banks look at account behaviour. Erratic balances, frequent overdrafts (minus) and lack of liquid savings all weigh negatively. A 3-6 month emergency fund is the cleanest signal.
How long does formal mortgage pre-approval (ishur eikoni) take?
Typically 7-14 days from submitting documents. Pre-approval is valid for 90 days and helps when negotiating with sellers.
Can I use family help for the down payment?
Yes, with documentation that it is a gift (matanah) and not a loan. Loans from family count as debt and reduce your borrowing capacity.
Methodology
LTV and PTI caps from Bank of Israel directive 329 on housing loans. Underwriting weighting reflects published 2024-2025 approval patterns from major Israeli banks (Hapoalim, Leumi, Mizrahi-Tefahot). Updated for 2026 by the Yesh Cash Editor.