Determine whether you need to lease a car. If you plan to spend most of your time in a large Israeli city such as Jerusalem, Tel Aviv or Haifa, a car might be more bother than help, since bus service in urban areas is excellent and parking is scarce. However, if you will live in Israel's peripheral area---the Negev desert or the Galilee---or if you will commute often between cities, a car is essential.
Write down what you need in your leased car. Since gas is expensive in Israel---more than $6 per gallon as of September 2010---you will save money in the long run by getting the smallest, most fuel-efficient car you can. If you can drive a stick-shift, ask for one since automatic cars tend to use more gas. Write down how many passengers you'll typically have and how much trunk space you need.
Check with several different leasing companies to get the best possible rates and terms for your needs. Reputable leasing companies in Israel include Eldan, Tamir, Auto Shay, Cal Auto Group, Hertz and Suncar. Some of these companies focus mainly on shorter-term car rentals, but if you call or email them for leasing information, you can usually get better rates than the ones listed on their websites.
Ask about value-added tax, or VAT. As of September 2010, the VAT in Israel is 15.5 percent. Depending on your visa status and the currency you plan to use to pay for the lease, you might be entitled to a tax waiver or other discounts. Ask about this when you inquire about leasing terms.
Note whether the monthly fee is set in shekels or dollars before signing the lease. The value of the New Israeli Shekel can fluctuate wildly, and your local currency (such as the American dollar) can also change value. If you or your business deals mostly in dollars, ask to have your monthly fee set in that currency so that your fee will not rise and fall relative to your income. (If the leasing company refuses to set the rate in dollars, at least be aware that the dollar value of your fee might change over time.) However, if you will be earning and living mostly in shekels, ask for the fee to be set in the local Israeli currency.
Read your contract carefully before signing. Your leasing company might provide a contract written entirely in Hebrew. If this happens, have an Israeli lawyer or an official translator explain all the terms to you before you sign it. Some companies might provide an English contract if you ask for one.
