You are pursuing a dream that many Israelis hold dear: building a home overlooking the serene, historic waters of the Kinneret (Sea of Galilee). This is a contrarian move, a deliberate choice to step away from the urban frenzy of the center. However, buying land here is not like buying a plot in a city. It’s a dance with agriculture, zoning, and community, and the common assumptions about real estate simply do not apply.
Where can you actually buy land to build?
The first and most critical mistake people make is seeing a beautiful, empty hillside and assuming they can buy it and build. The vast majority of land surrounding the Kinneret is designated as agricultural land (karka chaklait) or nature reserve, and you cannot build a private home on it. Your search must be laser-focused on plots that are specifically zoned for residential construction. These are typically found:
- Within Established Communities: In towns (moshavot) like Migdal, Kinneret, or Yavne’el, or in community settlements (yishuvim kehilati’im) in the surrounding hills like Poria Illit or Kfar Hittim. These communities have designated expansion neighborhoods (harchavot) where plots are sold specifically for building private homes.
- De-Zoned Agricultural Land: In rare cases, a piece of agricultural land adjacent to a community may have gone through the long and complex process of being de-zoned (hafsharat karka) for residential use. These plots are highly valuable and sought after.
What are the hidden costs and challenges?
Buying the land is just the first expense. Building your home involves several significant and often overlooked costs.
- Development Levies (Pituach): When you buy a plot in a new neighborhood project, you must pay a development levy to the local council. This covers the cost of bringing infrastructure to your plot: roads, sewage, electricity, and water. This can easily add 300,000 to 500,000 NIS or more to your total cost, on top of the land price.
- Betterment Tax (Hetel Hashbacha): If you buy a plot and later the zoning is improved (e.g., you are allowed to build a larger house or add a rental unit), you will have to pay a 50% tax on the resulting increase in the land’s value.
- Building Costs: As of 2025, the cost of construction in Israel for a good quality home is approximately 8,000 – 10,000 NIS per square meter. So, building a 150 square meter house will cost at least 1,200,000 NIS, in addition to the land and development costs.
What is the market price for a suitable plot?
The price of a plot with building rights varies dramatically based on location and, most importantly, the view.
- A standard half-dunam plot (500 square meters) in an expansion neighborhood with a partial or no direct view of the Kinneret might cost between 1,200,000 and 1,800,000 NIS.
- A premium plot in a prime location like Poria Illit or Migdal with a full, unobstructed, panoramic view of the Kinneret is a rare asset. The price for such a plot will start at 2,500,000 NIS and can easily exceed 4,000,000 NIS.
You are not just buying land; you are buying a view. And in the Kinneret region, that view is the single most powerful factor determining the price.
Too Long; Didn’t Read
- You can only build on land specifically zoned for residential use, typically within expansion neighborhoods of existing towns or settlements. Most land around the Kinneret is agricultural and cannot be built on.
- Be prepared for significant hidden costs beyond the land price, including development levies (300k-500k NIS) and construction costs (~8,000-10,000 NIS per square meter).
- Plot prices are determined almost entirely by the quality of the view of the Kinneret.
- Expect to pay 1.2M-1.8M NIS for a standard plot, and over 2.5M NIS for a plot with a premium, unobstructed view.
