For the first time in years, Israel’s Ministry of Construction and Housing will soon begin to raffle off over 10,000 discounted housing units in 31 cities. The much-anticipated raffle includes projects initiated by Moshe Kahlon 3-4 years ago (Mechir Lamishtaken), Yaakov Litzman two years ago (Housing at a Reduced Price) and most recently by Ze’ev Elkin (Target Price). This raffle is expected to have discounts of up to half a million shekels below market value, as the raffle includes Kahlon’s original units from years ago.

The final date to register for the raffle is March 29th, and entrants will be notified in April if they have won.  The distribution of the housing units can be seen in the table here.

It is very rare for the housing raffle to include so many units, particularly such a high number of units offered in Central Israel, including Tel Aviv.  This is mainly due to the political workings over the years to bring the discounted properties to all residents of Israel.  Over Israel’s history, close to 100,000 units have been raffled off.  Housing Minister Elkin claims these 10,000 units are the first of 30,000 which we will see sold this year. The Ministry’s promise to put roofs over as many young couples’ heads as possible seems to be coming to fruition.

Due to the varying phases of the different projects, as well as the different areas they will be offered in, the discounts for this raffle are very high. New projects do have a limit on the discount of up to 300,000 NIS.

Israel Mortgage RaffleIt’s important to note that nothing is currently built.  All of the projects are at varying stages of development.  Some don’t yet have permits, while others are ready for construction to begin. In the past, projects at the early stages of development were not raffled off.  Those entering the raffle should take this into consideration as it will take even longer to receive your apartment from the time of winning than before.  The five-year prohibition on sale of the apartment from the time of receipt of the key will still be in effect.

In order to register for the raffle, one needs to apply for a Teudat Zakaut (for more info click here). One can apply for zakaut through one of three companies which have locations all over Israel.  Some couples might be eligible to do the entire process online.  The three companies are Alonim, Milgam and Amidar.

The registration process can take 10 days to complete, so those interested should begin immediately.