First-Time Property Buyers Get 60,000 NIS…

As part of the Government’s efforts to encourage people to purchase apartments in the periphery, it has been decided that grants of 60,000 NIS will be given to first time property buyers in cities that are off the beaten path such as Yerucham, in the Negev.

60,000 NISIt was a conscious decision by the last mayor of Yerucham, Amnon Mitznah not to encourage the construction of new apartment buildings in the town, but rather houses with yards. Now, under this new plan many new apartment buildings will be built as well.

Whether this will affect the prices of existing apartments in the periphery is not yet clear. Now that sellers of apartments in these areas know that a grant of 60,000 NIS is available, it is conceivable that they will automatically raise their asking prices by a similar amount.

The thinking behind the decision to allow the construction of only private homes in Yerucham was to encourage more established people to settle in the town. The price of a nice house with a yard in Yerucham can be lower than the price of a small apartment in a city in the center of the country.

Yerucham is by no means the only option in the Negev. A new town being constructed for army officers and their families called “Ir Habadim” and new infrastructure is being put into place making it easier to reach the center of the country.  Prices are still relatively low when compared to the center of the country and first-time property buyers, especially, are finding attractive options.