Frequently Asked Questions About Selling an Apartment with a Mortgage

Selling an apartment with an active mortgage is a complex process requiring a clear understanding of rights, obligations, and procedural stages. On this page, we address the most common questions raised by sellers in these circumstances: how sales proceeds are utilized, who pays the debts, what happens if the price does not cover the mortgage, and what the legal rights of the seller and buyer are.

Each answer is based on our firm's practical experience representing real estate buyers and sellers since 2008, in accordance with Israeli property law and real estate security regulations. This page provides general information only and does not substitute for personal legal advice.

General Information — Not a Substitute for Personal Legal Advice

This page contains general legal information on the topic of selling an apartment with a mortgage and answers to frequently asked questions. The information is based on our firm's practical experience representing buyers and real estate sellers since 2008, and on Israeli real property law in effect in 2026. However, each case is unique, and legal provisions may change. This page does not constitute personal legal advice, and any legal or financial decision should be made in consultation with a licensed attorney.

If you are on the verge of selling an apartment with a mortgage, or if you have specific questions about your situation, we strongly recommend consulting with an attorney. At our firm, Mandelboim, Gor, Witsman-Gor and Co., we offer a complimentary initial consultation. During the meeting, we can assess your situation and propose a solution tailored to your needs.