Israel Standardizes Apartment Size Definition to Reduce Disputes
Israel's Ministry of Justice has approved a new, unified standard for defining apartment "area" in an effort to reduce discrepancies and disputes in the real estate market. The new standard, known as תקן 9.1 (Standard 9.1), replaces the previous תקן 9.0 (Standard 9.0) which was implemented in 2006. While the earlier standard provided a relatively uniform basis for measuring apartment sizes, it left room for interpretation, leading to slightly different measurements for the same apartment.
This issue is particularly significant in the housing market, as apartment size directly impacts price per square meter, property comparisons, sales contracts, and land valuations. Even minor measurement differences can have substantial financial implications for apartments valued in the millions of shekels. Previously, various methods existed for calculating apartment area, differing on whether to include wall areas, how to measure covered balconies, and how to account for internal stairs and other structural elements.
The 2006 standard, developed by the Valuation Standards Committee within the Ministry of Justice, was adopted by the Land Registration and Surveying Authority and incorporated into the Sale of Apartments Law, requiring developers to declare apartment sizes according to set rules. However, ambiguities persisted regarding the measurement of walls shared with common building areas like stairwells, as well as attics and supporting walls in split-level apartments.
To address these remaining issues, a professional team was formed about a year ago to develop the new standard. This team included representatives from the Ministry of Justice, the Ministry of Construction and Housing, the Survey of Israel, the Central Bureau of Statistics, the Ministry of Interior, and the Association of Contractors and Builders in Israel. The Ministry of Justice anticipates that unifying these rules and minimizing interpretive leeway will enhance transparency for apartment buyers, simplify property comparisons, and decrease disputes related to reported apartment sizes.