Different Roles, Different Functions
In Israeli real estate transactions, a lawyer and an accountant serve distinct functions that often overlap but cannot substitute for each other. Confusing the two — or assuming one covers the other's role — is a common and costly mistake.
What a Real Estate Lawyer Does
A real estate attorney handles the legal aspects of the transaction: drafting and reviewing contracts, conducting Land Registry searches, ensuring clean title, registering the transaction, and protecting the client's legal interests at every step. The lawyer also submits purchase tax declarations to the Tax Authority on your behalf — but this is a procedural filing, not tax planning.
What a Real Estate Accountant Does
A real estate-specialist CPA handles capital gains tax calculations, betterment levy assessments, annual property income reporting, and tax optimisation strategies. For sellers with complex ownership histories, or buyers considering multiple apartments, the accountant's input before signing is crucial to avoid overpaying tax.
Do I need both a lawyer and a CPA for a real estate transaction in Israel?
For straightforward transactions — buying a first apartment or selling a single home — a real estate lawyer is usually sufficient. However, for any transaction involving a second apartment, an inherited property, a gift transfer, rental income, or significant capital gains, a tax-specialist CPA should be consulted before signing. The lawyer handles the legal transaction; the CPA handles the tax strategy.
