Ministry of Aliyah and Integration / Ministry of Construction and Housing — Public Housing, Government Mortgage (Mashkanta), and Apartment Purchase Assistance for New Immigrants

Source: Israeli Government Guide for New Immigrants · 2026-05

43 It is possible that one who receives the basic assistance given to all new immigrants, will be eligible for additional assistance in accordance with the housing regulation. It is recommended to turn to the housing counselor at the Ministry of Aliyah and Integration in order to examine this type of eligibility. Please Note! In general one should keep all of the original documents and submit only copies. On the rare occasion that the original is necessary, make sure you have a copy of it. Public Housing Certain groups of new immigrants may be eligible for public housing, in accordance with the decisions of the Ministry. Public housing consists of a supply of state-owned apartments, which are offered as a housing solution to those in need. The apartments are rented for a low cost to those who are eligible for them, by the Housing Assistance Companies that rent out public housing apartments: Amidar, Milgam, Center of Alonim - M.A.G.A.R. (one company operates in each residential area). The majority of apartments are located in peripheral areas of the country - in the north and south of the country, there is a limited amount of available apartments. This is why receiving an apartment involves a long wait and receiving one is not guaranteed. Registration for the waiting list for a public apartment depends on the date of aliyah and the severity of the social case, and is done in the area of residence of the person who is eligible. The rental payment for the apartment varies depending on the location of the apartment, its size, and the level of income of the tenant. During the waiting period for public housing new immigrants are eligible for rental assistance. The period of eligibility for public housing is 15 years from the date of aliyah. At the conclusion of the 15-year period, persons who meet eligibility criteria are transferred for services to the Ministry of Construction and Housing. The Ministry of Construction and Housing will check their eligibility for housing according to its regulations. However, the Ministry of Aliyah and Integration continues to take care of the eligibility and allotment of housing solutions for elderly new immigrants.

44 The assistance is dependent on presenting a valid eligibility certificate (Te’udat Zakaut) of “not owning an apartment” (Hasar Dira). All family members who are requesting assistance and who are registered on the same new immigrant certificate, are listed together on the eligibility certificate. In order to assess eligibility for public housing according to the regulations and availability of the Ministry, one should consult a housing counselor at the Ministry of Aliyah and Integration at the area of residence, and provide the following documents: A new immigrant certificate (Te’udat Oleh), an identity card (Te’udat Zehut), documents which provide indication about income, a marriage license (for families), verification of IDF service, an authorization of disability (for people with a disability) and additional documents if necessary. The Ministry of Aliyah and Integration acts to find temporary and permanent housing solutions for new immigrants in conjunction with the Ministry of Construction and Housing and the Ministry of Finance: updating the rental assistance for apartments in the private market, updating the mortgages for housing for new immigrants, allotting public apartments to eligible new immigrants, including purchasing specific apartments (‘Nar’

• Dirot Nichsei Rechisha) for people with a disability, renting housing and building public protected living (Golden Age Homes) for elderly new immigrants and finding primary housing solutions for new immigrants from Ethiopia. Assistance for Purchasing an Apartment “Mashkanta”- a type of mortgage for housing A “Mashkanta” is a mortgage in which the object of purchase (the apartment) is held as collateral against repayment of the loan (usually to the bank). The implications of the holding of the object as collateral are: • If the borrower does not pay the monthly payments or violates any other commitment regarding the loan, the bank may realize the collateral through legal procedures including selling the apartment and even the evacuation of the borrower from it. • As long as the loan has not been fully repaid - The rights to the apartment (to sell, to bequeath it, etc.) can only be transferred

45 with the bank’s permission. It is possible to transfer the mortgage for the purchase of another apartment. In everyday language, a “Mashkanta” is a loan for the purpose of purchasing an apartment or building a house, in which the purchased property is held as collateral against repayment of the loan. There are two types of loans for purchasing an apartment: an eligibility mortgage (a government mortgage) (Halva’at Zaka’ut- Mashkanta Memshaltit) and a supplementary loan bank mortgages (loans from the mortgage banks) (Mashkanta Bankait). An eligibility mortgage (a government mortgage)
(Halva’at Zaka’ut -Mashkanta Memshaltit) This is a government mortgage for persons who meet the conditions of eligibility of the Ministry of Construction and Housing. The conditions (the repayment period, interest, and linkage to the Consumer Price Index) are determined by the government and the Ministry of Construction and Housing, and in accordance with the personal eligibility certificate (Te’udat Zakaut) of the applicant. The government loan is disbursed through the mortgage banks. Eligibility for a Government Mortgage The government provides mortgages to new immigrants who have a valid eligibility certificate (Te’udat Zakaut) that certifies that they are without housing. Mortgages are calculated according to the “point system”: every eligible person receives points depending on a few criteria - family status, age, length of time in Israel and other factors. The higher the amount of points is, the larger the sum of the mortgage. New immigrants who serve in the IDF in regular compulsory service or in National Service receive a supplement based on the number of months of service. New immigrants with a disability can also receive additional points. New immigrants are able to choose and receive housing assistance similar to veteran Israeli citizens, and in that case will be eligible for the sums of assistance and additions that are part of assistance programs for veteran Israeli citizens. One should compute the eligibility in each case for receiving the assistance, as new immigrants or as veteran Israeli citizens and decide which one is more worthwhile.

46 For information about the point system and about categories of eligibility for mortgage supplements, visit the Ministry of Aliyah and Integration website or the website of the Ministry of Construction and Housing in Hebrew: https://www.gov.il/he/departments/guides/mortgage_guide In order to check eligibility one should turn to one of the mortgage banks. New immigrants have the option of purchasing an apartment together with immediate family members. It is possible to realize up to three eligibilities for one apartment - one of the loans will be given in accordance with personal eligibility, and others for 80% of the personal eligibility and the addition due to duration of stay in the country. Please Note! The Government offers a variety of financial benefits to those who purchase an apartment in parts of the country considered areas of national priority. For more information, turn to the Ministry of Construction and Housing or go to the website. A supplementary loan (Mashkanta Bankait) A supplementary loan is from one of the mortgage banks from its own funds and according to each bank’s own criteria. People who are eligible for a government mortgage and are interested in receiving in addition to it a supplementary loan from the bank may ask the bank for a supplementary mortgage (Mashkanta Mashlima). It is recommended to compare the loan conditions of different banks before borrowing from any specific bank and bargain over the level of interest (ribit), the conditions of the monthly payments and the number of guarantors. There is competition among the banks that forces them to offer the borrowers a better deal.

47 Please Note! Before taking a mashkanta, it is advisable to check out all of the options, a government mortgage as well as a supplementary one from the different banks, and then choose the best option. One who is not familiar with the subject could possibly benefit by consulting an independent mortgage counselor who does not represent a specific bank. A Discount on Purchase Tax (Mas Rechisha) New immigrants may be eligible for a discount on the purchase tax for a property purchased in Israel during the following period: from a year prior to making aliyah until seven years afterwards. The request for the discount should be submitted with the appropriate documents to the offices of the Real Estate Taxation in the area where the property is located. Housing Programs The Ministry of Construction and Housing initiates from time to time housing programs such as “Mechir Lamishtaken” (“A price for a tenant”) and “Mechir Matara” (“A Goal Price”). The plans alternate and change from time to time. For updated information please go to the Ministry of Construction and Housing website: www.moch.gov.il