Now On Mortgages Expands Financing to Help Parents Fund Children's Home Purchases

In Israel's challenging housing market, young couples often rely on their parents to provide the substantial down payment needed to buy a home. However, soaring property prices and strict banking regulations make it difficult for many families to secure adequate financing. Currently, banks limit loans secured against parents' existing homes to 50 percent of the property's value, a threshold insufficient for today's market demands. This is especially problematic for families in the Haredi sector, whose unique income sources like scholarships and support payments are often not recognized as valid income by traditional banks.

Addressing this financial gap, the company Now On Mortgages has introduced an innovative, legally compliant financing model that significantly increases the available funding. Their approach allows parents to mortgage their current home for up to 80 percent of its value, substantially higher than the standard banking limit, providing tens or even hundreds of thousands of shekels more as initial capital for their children. Additionally, young couples purchasing their first home can benefit from increased loan-to-value ratios of up to 80 percent, compared to the usual 75 percent offered by banks, reducing the need for additional savings.

Now On Mortgages also offers tailored solutions for the Haredi community by expertly analyzing their specific income structures and providing flexible, creative financing options where traditional banks often decline. The company emphasizes that their unique financing solutions help families overcome bureaucratic and regulatory barriers, enabling young couples to purchase homes more easily and quickly. A spokesperson stated, "The financial challenge parents face when their children marry inspired us to develop these unique financing solutions, allowing every couple to reach homeownership without unnecessary bureaucracy or regulatory obstacles."