Frequently Asked Questions

Straightforward answers to the questions every Israeli investor asks before making their first US property investment.

The Property

Yes. The property is registered directly in your name on the American title deed (the "deed"). In addition, title insurance is obtained at closing to protect against any undisclosed claims or errors in the title history. You own the property — fully and legally.

Every property can be independently verified through publicly available platforms such as Zillow, Trulia, and Google Maps, which include interior photos, street views, and neighborhood data. Our renovation contractors also photograph each property in detail before and after all work is completed, and those photos are shared with you at every stage.

When purchasing through CIG, we verify that all prior debts — including outstanding mortgages, municipal charges, and utility balances — are fully settled before the transaction closes. Title insurance provides an additional layer of protection. Purchasing directly from a bank (REO) clears the mortgage but does not always eliminate municipal or utility debts, which is one of the reasons we manage the process on your behalf.

Yes. CIG provides a 12-month warranty on all renovation work, commencing from the date of purchase. Any defect or issue arising from our renovation is remedied at no additional cost to you during that period.

Investment & Financing

The current minimum investment is approximately $90,000. This figure reflects market prices and is subject to change as US real estate values increase. Your total investment covers the purchase price, renovation, closing costs, and initial setup — with no hidden additions.

US financing for non-citizens is limited, as American mortgage lenders typically require a US credit history. That said, refinancing after purchase is possible once the property is established and generating income. In Israel, investors often use personal loans or collateral against existing property to fund the purchase. We are happy to discuss the options that best fit your financial situation.

Rental Income & Management

Yes. All properties sold through CIG are delivered with an existing tenant already in place, under a standard American lease agreement for a minimum of one year with an option to extend for an additional year. The tenant pays one month's rent as a security deposit upfront. You begin receiving rental income immediately after closing.

Each investor receives a dedicated US bank account into which rental payments are deposited each month. You have full access to this account and receive a monthly statement detailing income received and any maintenance expenses deducted. There is complete transparency — you always know exactly what is happening with your property and your money.

A professional, US-based property management company oversees all day-to-day operations — tenant relations, rent collection, maintenance coordination, and legal compliance. You are notified and asked to approve any non-emergency maintenance expenditure before work begins. Emergency repairs that are legally required may be carried out immediately, with notification to follow.

CIG partners with established, experienced property management firms in each market — companies that manage hundreds of properties locally and have proven systems for tenant screening, rent collection, and maintenance. The specific management partner depends on the location of your property, and we are happy to provide full details during the consultation process.

Taxes & Ongoing Costs

There is no purchase tax in the United States. Rental income is subject to US federal income tax, though the effective rate is low — the annual threshold before tax applies is approximately $8,000. On the Israeli side, you may elect to pay a flat 15% tax on rental income, or be taxed under the standard graduated rate. Capital gains on sale are taxed at approximately 20% in the US and 25% in Israel, with the US-Israel tax treaty preventing double taxation. We connect every investor with a qualified accountant who specializes in this area.

The recurring costs of ownership include: property taxes (paid annually to the local municipality), property management fees (typically 8–10% of monthly rent), and landlord insurance. Additional variable costs include routine maintenance and repairs. There is also an annual tax filing fee in both the US and Israel, and an annual LLC management fee. All of these are factored into the return projections we present before any purchase.

Still have questions?

Every investor's situation is different. We are happy to answer your specific questions in a free, no-obligation consultation.

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