Car rental in Tel Aviv: prices, parking and whether you need a car at all

For a stay inside Tel Aviv-Jaffa, no: a car costs you more in parking and time than it saves. Rent one only for the days you leave the city.

When a car is worth it:
- Day trips: Caesarea and Zichron Ya'akov (about 1 hour), Haifa and Akko (1.5-2 hours), the Dead Sea and Masada (about 2 hours), the Sea of Galilee (about 2 hours).
- Shabbat: from Friday afternoon to Saturday night most trains and intercity buses stop, while beaches, nature reserves and the north are at their busiest.
- Families and apartment hunting: if you visit several suburbs (Ra'anana, Modi'in, Netanya) in one day, a car is far more efficient.

When to skip it: a city break centred on the beach, Jaffa, Neve Tzedek and the markets. The light rail Red Line, buses and taxis cover it, and the drive from the airport by train is short.

A good compromise: take the train or a taxi from the airport, enjoy the city without a car, and rent for 2-3 days from a city branch or back at the airport when you leave for the north or south.

A small car costs about 130-190 ₪ per day in low season and 190-280 ₪ in peak periods, based on comparison-site prices for the coming season.

• Peak dates: Pesach, Sukkot, Christmas week and July-August. Book several weeks ahead for automatics.
• Short rentals: a 1-2 day rental is relatively expensive and can come with a kilometre cap (for example 250 km per day at Eldan for 1-2 days). From 3 days, mileage is usually unlimited.
• Currency: tourists are often quoted in US dollars, without VAT. Israelis and dual nationals on an Israeli passport pay 18% VAT.
• Hidden costs in Tel Aviv: paid parking, possible fines, Highway 6 and Fast Lane tolls billed with a handling fee.

For most travellers, the real price of a Tel Aviv rental day is the rental plus 50-100 ₪ for parking. Budget accordingly.

Pick up at Ben Gurion if you start your road trip on landing; pick up in the city if you spend the first days in Tel Aviv without a car.

• Ben Gurion airport: the largest fleet, the longest hours and some suppliers open on Shabbat. Adds a one-time airport fee.
• City branches: found in central and southern Tel Aviv and near the main train stations, often with lower prices for short rentals and no airport fee. They usually close on Friday around midday and reopen on Saturday night or Sunday.
• One-way: you can pick up in Tel Aviv and return in Jerusalem, Haifa or Eilat with most national suppliers, for an extra one-way fee.

Tip: if you want the car for Shabbat, collect it from a city branch on Friday morning or Thursday; if you need it on Saturday morning, the airport is often the only option.

Parking is the hardest part of having a car in Tel Aviv: curb colours decide everything, and the resident-only rules catch many visitors.

According to the Tel Aviv-Yafo municipality:
- Blue and white: paid parking for non-residents from 9:00 to 17:00. From 17:00 to 9:00, only cars with a resident sticker for that zone may park, unless street signs say otherwise. A rental car never has a sticker.
- Red and white: no parking at any time.
- Grey (unpainted): allowed, subject to the signs at the start of the street.
- Red and grey: depends on the signs at the start of the street.

How to pay: use the Pango or Cellopark app, register the rental car's plate, and start and stop each session from your phone.

At night, use a public car park. Municipal lots and private car parks charge by the hour or by the day; central lots near the beach and Rothschild often cost 50-100 ₪ per day, so check the posted rates. Fines and towing fees are sent to the rental company, which charges your card with an extra handling fee.

Traffic in and around Tel Aviv is heavy from about 7:00 to 10:00 and 15:00 to 19:00; plan day trips to leave early and return after the evening rush.

• Ayalon (Route 20): the north-south urban motorway through the city, between the railway lines. It links to Route 1 (airport, Jerusalem), Route 2 (coast road north) and Route 4.
• Route 1 Fast Lane: a tolled lane between Shapirim (near the airport) and the city. The toll changes with traffic; there is a free park-and-ride at Shapirim with shuttle buses into Tel Aviv. Cars with several passengers have historically used it free; check the current rules.
• New fast lanes: additional tolled fast lanes on the coastal road (Route 2) and the Ayalon were planned to open from 2026, with prices fixed weekly according to congestion. Check their status before relying on them.
• Highway 6: east of the city, free-flow and tolled by plate. It is often the fastest way north or south at rush hour.

All tolls are billed to the rental company, which passes them to you with a handling fee. Waze can avoid toll roads if you prefer.

Shabbat is when a car pays off in Tel Aviv, but you must collect it before city branches close on Friday.

• Public transport: most trains and intercity buses stop from Friday afternoon to Saturday night. Tel Aviv runs some weekend municipal lines, but they do not reach the Galilee or the Dead Sea.
• Branch hours: expect closures from Friday around midday to Saturday night. Ask whether the branch has a key drop box for Saturday returns.
• Popular Shabbat trips: Caesarea and the coast, Mount Carmel and the Druze villages, the Sea of Galilee, Ein Gedi and the Dead Sea.
• One-way to Eilat: possible with national suppliers for a one-way fee. The drive is 4-5 hours via Route 90 or Route 40 through the Negev.

During Yom Kippur, roads are almost empty and driving is socially unacceptable in most areas; plan to keep the car parked.

At a Tel Aviv branch or at the airport, you need your passport, a valid licence and a credit card in the main driver's name; the rules are national, not local.

• Licence: a valid foreign licence is accepted for up to one year from your entry into Israel; bring an International Driving Permit if it is not in English. Rental companies usually require 1-2 years of licence history.
• Age: most suppliers set 21 as the practical minimum for small cars, with a young-driver surcharge under 24; some rent from 18 for small categories with a daily fee, and premium or 7-seat cars often require 25 or more. Check your rental terms.
• Credit card: a credit card in the main driver's name, not debit or prepaid, with enough limit for the deposit (often 1,000-3,000 ₪ or more).
• Insurance: basic CDW and theft protection are included or mandatory, with an excess of roughly 2,000-4,000 ₪. Tyres, glass, roof and underbody are usually excluded. Our Israel car rental insurance guide explains how to reduce the excess.
• VAT: foreign tourists on a B2 visa show the entry slip from passport control and pay no VAT on the rental; Israelis and dual nationals on an Israeli passport pay 18%.

• Extra drivers: every driver must be registered on the contract and present at pickup with a licence, or they are not insured.

Compare airport and city offers for the same dates, then choose based on total price, opening hours and the parking you will need.

We recommend comparing on DiscoverCars, which shows Israeli suppliers such as Shlomo Sixt, Eldan, Avis/Budget Israel and Hertz side by side, with free cancellation up to 48 hours before pickup and a full coverage option. Check Economybookings for a second quote. These are affiliate links: we may earn a commission, and your price is unchanged.

Before paying, check:
- The pickup address and the branch hours on Friday.
- The mileage policy for short rentals.
- The excess and deposit (often 1,000-3,000 ₪ or more on a credit card).
- Whether your hotel or apartment has parking, and its daily price.
- The VAT line: tourists with a B2 visa should not be charged VAT on the rental.