Israel's Fair Rental Law - Landlord Duties and a Habitable Apartment
The Fair Rental Law is a chapter of the Rent and Borrowing Law added in a 2017 amendment, imposing protective rules on residential leases. Its core: the apartment must be "fit for living", the landlord must repair defects within set time limits, security that involves a monetary outlay is capped, and certain charges cannot be imposed on the tenant. It covers most residential leases, with exceptions - such as lets of up to 3 months with no extension option, and apartments whose rent exceeds ₪20,000 per month.
What counts as "fit for living"
The law requires a rented apartment to meet basic conditions: functioning drainage and sewage, an electrical and lighting system, ventilation, and no danger to occupants' health or safety. A landlord may not rent out an apartment that fails these conditions.
If a defect makes the apartment unfit, the tenant has rights - including demanding repair, and in some cases a rent reduction or ending the contract.
The repair duty and its deadlines
The landlord must repair defects not caused by the tenant within a reasonable time and no later than 30 days from notice. For an urgent defect that does not allow reasonable habitation, within a reasonable time and no later than 3 days.
If the landlord misses the deadline, the tenant may (subject to the law's conditions) repair and claim reimbursement, or receive a proportional rent reduction. See our dedicated article on repairs and maintenance.
The cap on security
The law caps the total value of security that involves a monetary outlay by the tenant - such as a cash deposit or a bank guarantee. Such security cannot exceed the lower of: three months' rent, or one-third of the total rent for the lease period.
The cap does not apply the same way to security that does not involve an immediate monetary outlay - such as security cheques, a promissory note, or guarantors - which can be required in addition.
For example, a one-year lease at ₪5,000/month (₪60,000 total) caps the deposit at the lower of ₪15,000 (3 months) or ₪20,000 (one-third) - i.e., ₪15,000.
Charges that cannot be shifted to the tenant
Under the law, the landlord bears certain costs that cannot be passed to the tenant - such as building insurance and structural repairs not caused by the tenant. The tenant mainly pays for consumption and services they benefit from (electricity, water, gas, property tax, routine HOA dues).
Frequently asked questions
What is the security cap under the Fair Rental Law?
The cap applies to security involving a monetary outlay by the tenant (a cash deposit or bank guarantee), which may not exceed the lower of three months' rent or one-third of the total rent. Security cheques, a promissory note, and guarantors are not capped the same way.
How fast must the landlord fix a defect?
A regular defect - within a reasonable time and no later than 30 days from notice. An urgent defect that does not allow reasonable habitation - within a reasonable time and no later than 3 days.
Which contracts does the Fair Rental Law apply to?
It applies to most residential leases, with exceptions - such as lets of up to 3 months with no extension option, apartments whose rent exceeds ₪20,000 per month, plus hotels/vacation stays, assisted living, student dorms, protected tenancy, and rentals between family members.