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SERVICES
Katz Mortgage Group
At KMG we are dedicated to helping our clients through the mortgage process with ease. In addition to our brokerage services, we provide personalized assistance in opening a foreign bank account as well as helping you transfer funds from abroad. We are committed to providing professional guidance, reliable solutions and expert assistance, every step of the way!
Our Team
Loan Options
Fixed Rate Loan
A fixed rate loan has an interest rate that stays the same for the entire loan term. It offers predictable monthly payments, making it ideal for borrowers who prefer stability. Shorter loan terms usually come with lower fixed rates. However, fixed rates are typically higher than variable rates, leading to higher monthly costs. Early repayment may also trigger a penalty.
Semi-Fixed Loan
(also known as an Adjustbale Rate Mortgage - ARM) has an interest rate that resets every 2 to 5 years based on current bond market rates. It offers regular penalty-free exit points (tachanot yetziya), reducing the risk of prepayment fees. This loan provides a balanced middle ground between fixed and variable rate options.
Variable Rate Loan
Also called a Prime Rate Loan in Israel, has an interest rate that can change monthly. Generally this is lower than fixed interest rates. They have no prepayment penalties, but future rate increases could raise monthly payments.
Foreign Currency Loan
Borrowers aren’t limited to shekel-based loans—there are a few different currency options available. It’s possible to take out loans denominated in major foreign currencies like USD or Euro. These loans can be structured in two main ways: either issued directly in the foreign currency, or provided as a shekel-based loan that’s linked to the value of a foreign currency. This allows borrowers to mitigate currency risk by matching their mortgage to the currency of their income.
Inflation Linked Loan
(tzamud l'madad) is available with fixed or semi-fixed rates. It offers a lower interest rate, but the loan amount increases over time with inflation. This means borrowers pay both interest and inflation-based adjustments. Over the long term, these loans can be very costly and are best suited for short-term financing.
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