According to an agreement between the Housing Ministry and
the Finance Ministry, the Government has extended the period
for the granting of benefits for the purchase of apartments
until the end of the civil year (16 Teves). New conditions
have been set up for the grants.
Four months ago, the Government decided to grant special
benefits to those purchasing apartments in a number of
settlements. The benefits were in effect from 26 Sivan, 5761
through 29 Tishrei, 5762 (October 16).
Due to the success of the campaign and the difficulties of
the housing ministry in Israel and the entire economy, it was
decided to extend the period for benefits in the following
way: The original benefits will be offered until the 14th of
Cheshvan (October 31). These benefits include a NIS 50,000
loan at 4 percent interest plus an additional NIS 50,000, of
which NIS 25,000 is a conditional grant (which is gradually
forgiven over several years as long as the apartment is not
sold), and NIS 25,000 of which is a loan at 4.5 percent
interest.
Thereafter, from the 15th of Cheshvan (November 1) until the
15th of Kislev (November 30), purchasers will receive a load
of NIS 45,000 at 4 percent interest as well as an additional
NIS 45,000, half as a conditional grant and half a loan at
4.5 percent interest.
From the 16th of Kislev until the 16th of Teves (December
31), purchasers will receive a NIS 40,0000 loan at 4 percent
interest and an additional NIS 40,000, half of which is a
conditional grant and half a loan with a 4.5 percent interest
rate.
On 29 Tishrei, Deputy Housing Minister Rabbi Meir Porush said
that top-ranking officials in the Ministry told him that
during the past four months in which the benefits were in
effect, sales rose dramatically in Ashdod, Beitar Illit, Beit
Shemesh, Modi'in (Kiryat Sefer and Brachfeld) and Tel Tzion.
Rabbi Porush expressed his satisfaction with the decision to
extend the period of the grants, noting that this will given
an additional boost to the languishing building industry.
Housing Ministry statistics indicate that since the beginning
of 2001, 368 apartments have been sold in Beit Shemesh, and
168 during the four months in which the grants were in force.
Since the beginning of the year, 209 apartments were sold in
Beitar Illit, 128 of them during the months in which the
grants were in force.
