Purchase Tax Ma'ale Adumim vs. Jerusalem 2026 – Comparison Based on Real Data
The purchase tax tiers are identical across the country — but because apartment prices differ significantly between Ma'ale Adumim and Jerusalem, the actual amounts paid are completely different, even as a percentage of the price. Here’s what the actual data shows.
Average Price and Actual Purchase Tax (Single Apartment)
Based on real transactions recorded in the last two years:
| Area | Average Price | Purchase Tax (Single Apartment) | Effective Percentage |
|---|---|---|---|
| Ma'ale Adumim (General Average) | 2,106,278 ₪ | ~4,464 ₪ | 0.21% |
| Jerusalem (General Average) | 2,891,653 ₪ | ~40,121 ₪ | 1.39% |
The gap is dramatic: a buyer of an average single apartment in Ma'ale Adumim pays almost 9 times less in actual purchase tax than a buyer of an average single apartment in Jerusalem — despite the tiers being identical. The reason: the average apartment price in Ma'ale Adumim remains close to the full exemption threshold (1,978,745 ₪) and only slightly exceeds it, while the average apartment price in Jerusalem is already deep within the 5% tier.
Details by Number of Rooms
| City | Rooms | Average Price | Purchase Tax (Single Apartment) |
|---|---|---|---|
| Ma'ale Adumim | 3 | 2,117,650 ₪ | ~4,862 ₪ |
| Ma'ale Adumim | 5 | 2,058,920 ₪ | ~2,806 ₪ |
| Jerusalem | 2 | 2,448,281 ₪ | ~17,952 ₪ |
| Jerusalem | 3 | 3,219,904 ₪ | ~56,534 ₪ |
| Jerusalem | 4 | 3,813,870 ₪ | ~86,232 ₪ |
| Jerusalem | 5 | 2,817,605 ₪ | ~36,419 ₪ |
Note: even an average 5-room apartment in Jerusalem (2,817,605 ₪) pays significantly higher purchase tax (~36,419 ₪) than an average 5-room apartment in Ma'ale Adumim (2,058,920 ₪, ~2,806 ₪ only) — despite having the same number of rooms, the difference is entirely due to market price.
The Implications for Investors and First-Time Homebuyers
For those whose budget is tight relative to the exemption threshold (1,978,745 ₪), Ma'ale Adumim offers an inherent advantage: most apartments in the area still fall into the lower tier or are close to full exemption. In Jerusalem, on the other hand, almost every apartment — even a 2-room apartment — already exceeds the threshold and enters at least the 5% tier, and sometimes (4-room apartments and above in sought-after areas) even the 8% tier.
The practical implication: when comparing investments between the two areas, it’s advisable to calculate the purchase tax as part of the total acquisition cost, not just the price of the property itself — the gap can affect the net ROI of the investment.
Related: Comprehensive Purchase Cost Comparison
Beyond the purchase tax, there are additional differences between the two areas in ancillary costs and mortgage composition. See also the 2026 Mortgage Recycling Guide if you already own a property in one of the areas and are exploring financing options.
Wondering Where It’s Worth It to Buy?
Check out actual properties in Ma'ale Adumim and Jerusalem to compare real prices, and contact the Merkaz HaNekasim team for an accurate calculation of the expected purchase tax for the property you choose.