Is it Worth Using Your Oleh Discount to Purchase a Car?

The Problem With ‘Lesser Of Two Evils’ Thinking

If you thought choosing between Trump or Hillary was difficult, wait till you have to decide over which car to buy, which discount to choose and how to pay for it.

An Oleh (new immigrant) receives a discount (off the taxes), up to 12% approx, when purchasing a car. No matter how long you have been living here, the opportunity to save money is enticing. 

To use your Oleh rights, the following restrictions apply:

1) Only two drivers are permitted to drive the vehicle.

2) You have three years to use your Oleh discounts to purchase a car.

3) Four years must elapse from date of purchase before you sell to an Israeli citizen or your heavily penalised.

4) Within four years on owning the car, it can be sold to another Oleh. This is called Passport 2 Passport. 

I am asked daily, what seven seaters I have to offer with Oleh discount. We at Zvi Cars have seen a large drop in sales of P2P cars in recent years. I speculate the reason for this is the following:

1) As other discounts are available (see bellow) there has been a drop in sale of cars purchased using Oleh rights. (It is possible to use two discounts).

2) Most families that own a seven seater, keep it for many years. 

3) An Oleh who is leaving the country and wants to sell his vehicle expects top Dollar for it and the discount he is offering in not substantial. 

As you might of heard, new cars are three times the price in Israel than they are in America. Did you know that used cars, especially seven seaters, hold their prices extremely well. As opposed to Chutz L’eretz, where seven seaters are seen as undesirable and devalue more. This makes looking for used seven seater very difficult. Another question I get asked frequently, What good deals can you offer me on a family seven seater? “No such thing”. We respectfully reply. Of course, on European cars, you will often find 30% off book price but that is not surprising as most people who know cars, know that Japanese cars are built to last and are most coveted.

Verdict

Finding comparative flaws with your political opposition is the easier than buying a car in Israel. If we elect the most powerful man in the world because he is “not-Hillary” are we any worse off with, lesser-of-two-evils in choosing a car? Only time will tell if we have chosen correctly. G-d Bless America and your next car.

2017, 0 km, NEW CARS AT DISCOUNTED PRICES (without Olim Reduction):

7 seats

Mitsabushi Outlander, dealer price ₪175,₪160,000

Toyota Verso, dealer price ₪161, ₪145,000

Toyota Prius Plus 2. dealer price ₪173,₪160,000

5 Seats

Kia Sportage dealer price 185, 2.0, you pay 166,000 

Kia Ceed, dealer price ₪133, you pay ₪108,000 

Mazda 3, dealer price ₪131, you pay ₪112,000 

Kia Rio 2016 dealer price ₪109,1.4, you pay ₪ 90,000

Mazda 2, dealer price ₪108, you pay ₪ 99,000

Hyundai  i10 Supreme, dealer price ₪ ?, you pay ₪ 77,000

Hyundai  i20 dealer price ₪ 106, you pay ₪ 91,500

Hyundai i25 dealer price ₪ 112, you pay ₪ 93,000

Hyundai i35 dealer price ₪ 135, you pay ₪ 118,000

Toyota Yaris, dealer price ₪ 104, you pay ₪ 93,000 1.3 Sol

Kia Picanto dealer price ₪ 82, you pay ₪ 71,000

Nissan Juke 1.6. dealer price ₪ 132, you pay 113,000

Ford Fiesta .1.6, dealer price 101, you pay ₪ 86,000

Hyundai Touson 2.0 dealer price ₪ 163, you pay ₪ 149,000

Hyundai Touson 1.6 dealer price ₪ 147, you pay ₪ 138,000

Visit http://www.zvicars.com for a complete list of new cars available.

Visit our website at http://www.zvicars.com to view additional incentives beyond the 12% when you buy P2P, or call us to explore your options for a car at (972) 02-991-3115.

For more helpful hints on buying a car in Israel, visit these articles now:

Call for details on finance options, warranty, for cars for sale with your Oleh rights, new & used cars. 

ZVICARS.com

Sales, insurance & rentals 

Office:  02 991 3115  

Mobile: 054 591 5115

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