Aviv Malisron Launches Zero-Equity Apartment Financing Model
Aviv Malisron has launched a zero-equity apartment financing model allowing buyers to leverage existing property assets while the developer covers interest costs until occupancy.
Aviv Malisron has introduced a new financing model allowing home buyers to purchase apartments with zero upfront equity by leveraging existing property assets. The real estate market has faced a slowdown driven by high interest rates and the ongoing security situation, leading developers to offer creative financing solutions while prices rose by 7.7% over the past year.
The new scheme is designed to address the primary hurdle for apartment hunters: accumulating the required initial capital. While Bank of Israel regulations mandate substantial equity, the Aviv Malisron model permits buyers to utilize existing real estate assets or those owned by first-degree relatives to secure the necessary funding without liquidating other investments or savings.
Financing Terms and Projects
Under this arrangement, Aviv Malisron covers all financing costs and interest payments until the project's completion and occupancy. At that point, buyers settle the loan either by selling their existing property or through other capital sources. This approach applies to various residential projects marketed by the company across Givatayim, Tel Aviv, Ramat Gan, Netanya, and Herzliya.
Tsahi Didi, CEO of Aviv Malisron, stated: "In a residential real estate market where purchasing a new apartment involves significant economic and financial challenges, out-of-the-box thinking is required. Our new model is designed to enable all buyers to advance to a new home, even without liquid equity."
