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I love living in Israel, however here are some hidden darker issues with living here:The Orthodox control the Jewish religion here and how it is mandated. Though you can be secular, it is not recognized officially. For example, you have to be married in Israel by an Orthodox Rabbi for it to recognized and both parties must be Jewish for it to be official.The living wage is NOT a livable wage. Most of the citizens live in debt to the banks here. What is known as living in the negative.Your morning or evening commute can be interrupted by a bomb threat or explosion that may delay you getting into the office or going home by 30 to 45 minutes on any giving day. This does not have to be the work of terrorists, as Israeli mafia may also be the culprit.To rent an apartment, you need two guarantors. For an Israeli getting guarantors is fairly easily. For someone who immigrates to Israel and knows no one, they can’t often rent an apartment because they have no guarantors and may have nowhere to live that is not a high priced sublet. A guarantor is a person who legally signs to pay your rent if you somehow are unable to or renege on paying before the contract expires.

Interesting!Let's see what all do you stand to lose while following your "strategy"...Margin/Downpayment: The bank doesn't loan 100% of the amount required to buy a property. The RBI (in order to keep a check on budding conmen like you :p) has set a ceiling on home loans which limits the amount of loan one can take against property to 80% of the property value. This means that while the bank pays 80% of the total cost of your property, the remaining 20% needs to be paid by you. This remaining amount is referred to as margin or down payment. You lose this along with your house after you default on your payment.Processing fee: Every bank charges processing and administrative fees for processing the documentation of your home loan. On an average, the fee ranges from 0.5% to 2% of loan amount (2% of 10 lakh is a good 20,000 rupees). It is obviously non-refundable.CIBIL Score: The Credit Information Bureau of India Limited (CIBIL) collects and maintains records of an individual’s payments pertaining to loans and credit cards. These records are submitted to CIBIL by member banks and credit institutions, on a monthly basis. This information is then used to create Credit Information Reports (CIR) and credit scores which are provided to credit institutions in order to help evaluate and approve loan applications. You default on your payment on one loan, your CIBIL score goes down and it becomes harder for you to get the next loan. You default multiple times, you get blacklisted!Hope I have given you enough reasons to abort your strategy ;-)However, I must add here that not too long ago, banks in the United States of America did lend out loans to individuals without any of the above safeguards. Things turned out to be exactly the way you have strategized - thousands and thousands of home loan customers defaulted on their loan.Result: a disaster in the form of the 2008 financial crisis (Lehman Brothers went belly up overnight, remember?) [More on that here: Alqama Pervez's answer to How would you explain the 2008 financial crisis to a teenager?]Edit:Our friend Pankaj Goyal has raised the issue of banks seizing other assets of the borrower too in case of non-repayment of loan.> A lending institution (the bank here) can go after other assets of the borrower only in the following 2 cases:1. it is not able to recover the loan amount even after taking over the secured asset - the apartment in this case.(This might happen if real estate prices have fallen steeply or no-one is willing to buy the apartment)2. it has not been able to take over the apartment (say, the apartment was never handed over to the borrower by the builder or its construction was not complete)As per the SARFAESI Act (2002), while the lending agency may take over the possssion of the secured assets all by itself, it needs court's intervention (i.e. it needs to file a civil suite) before laying its hands on other assets of a defaulter.Chetan Fating has asked whether banks cause harassment (physical or otherwise) to the borrower or his loved ones in case of non-payment of dues.> After the borrower has defaulted on his payment, the banks go after the guarantor declared by the borrower in his loan application.The Supreme Court has repeatedly iterated that banks cannot use any physical force or harassing ways while trying to recover the loan. However, the banks do send goons who often, in violation of the Supreme Court's order, try to intimidate the loan owner/guarantor.

In the rest of the country, the practice is often that a landlord pays a real estate agent a commission to rent an apartment on their behalf. In Manhattan and prime parts of Brooklyn such as Park Slope, Brooklyn Heights, et cetera, the demand is so high that landlords need not offer to pay the broker's commission in order to have an apartment rented; Manhattan apartment vacancy rates are at 1.39% [1] and last year they dipped below 1% [2]. Many landlords and management companies do not actively market their available apartments for rent, and likewise, a brokerage comes into the picture. Because of the demand, the commission is foist upon the tenant, as opposed to being swallowed by the owner. Likewise, only 4% of apartments for rent in Manhattan offer concessions for brokers [3]--owner pays one month's rent commission to a tenant's broker.As Mr. Wang mentioned here, there are a number of sites that will connect you directly with the owners and management companies in New York, so you can avoid a brokerage altogether. That will also leave out a number of apartments from your search, for instance, someone renting out their condo or co-op apartment will likely hire a broker to do so, and will mostly likely not pay the broker's commission. You'll find that co-op sublets and sometime condo rentals are often priced at a discount versus a comparable apartment rental building. Additionally, apartments in smaller buildings often use a broker that has an exclusive on the building and do not pay their fee, so the tenant must. Pan Am Equities, which owns 60 buildings and likewise is one of the city's largest landlords, will not deal directly with any potential tenant, you must go through one of their preferred brokerages in order to rent there.Regardless if you use a broker or not, the most important factor in being able to rent the apartment your daughter wants is to be prepared. If you daughter cannot demonstrate she earns 40x one-month's rent, you or someone else will need to be her 'guarantor' (we don't use the word co-signer in New York) and prove you earn 80x one-month's rent. Depending on the owner, they may or may not be flexible on this rule by allowing multiple months pre-paid or allowing the tenant to use a service that does this, specifically Insurent [4]. Be prepared with all her paperwork and all the paperwork of her guarantor (if need be). This includes typically:Photocopy of ID3-months of bank statements3-months pay stubs2-years tax returnsLetter of employment, Letter of school enrollment if a student, or Letter from a CPA if self-employedLetter of reference from previous landlord or cancelled rent checks from previous apartment.Completed Rental application (if you know where you want to apply and have a copy)The management company, broker, or landlord will pull the credit of the potential tenant and guarantor. This will be part of the application fee. If you happen to already have a complete credit report (with FICO score, not freecreditxyz, which only shows one bureau's rating), background check, and court document search, then bring that and it is possible that your application fee may be waved.Lastly, it is entirely possible and not difficult to rent without a broker in New York, particularly if you like looking at apartments online all day or the building that interests you has a full-time leasing office. Be aware that much of the data online, even in broker's databases (in New York its RLS--REBNY Listing Service, because most Manhattan brokers are not REALTORS) goes out-of-date very quickly because of the fast-paced nature of New York real estate. If you do want someone to do the work for you of finding an apartment for your daughter, I would recommend using a competent broker, but you will probably have to pay them for working for you.1. http://www.citi-habitats.com/media/pdf/RMA_10_2012.pdf2. http://www.crainsnewyork.com/article/20110511/REAL_ESTATE/1105199713. http://www.elliman.com/pdf/2891536b8ddb64a2241e9f6f15af2e314ecd9ba94. Insurent Lease Guarantor Service – NYC Rental Cosigner – Apartment Guarantors