Israel’s government unveiled on Sunday a program that will provide approximately 20,000 opportunities for IDF reserve soldiers to purchase discounted apartments or land over the next two years, as officials seek to expand benefits for those who have served during the country’s ongoing wars.
Prime Minister Benjamin Netanyahu, Construction and Housing Minister Chaim Katz and Finance Minister Bezalel Smotrich announced the “From Reserve Duty to a Key” program, which will make about 16,000 apartments available through the government’s Target Price program and roughly 4,000 plots for ground-level construction during 2026 and 2027.
Successful applicants could receive discounts of more than NIS 500,000 ($167,000) on a new home, the government said.
Israel’s “Target Price” program, formerly known as the “Buyer’s Price” program, provides eligible first-time homebuyers the opportunity to purchase new apartments at prices below market value through government-run lotteries. Reservists have received priority in recent lotteries as the government has sought to provide additional benefits to those who have served during the war, many of them doing hundreds of days of duty.
The announcement comes after strong demand from reservists in the latest Discount Apartment lottery, in which 25,354 reservists registered and 4,734 won apartments, the government said. In the latest program, reservists will receive priority for 75 percent of apartments offered, compared to 50% in the most recent lottery.
Sign up for ToI’s free
Real Estate Israel newsletter
By signing up, you agree to the terms
The program will also expand benefits for reservists seeking to purchase plots for ground-level homes in National Priority Area A, which includes communities designated by the government for additional development incentives. Among these are parts of Israel targeted by Hamas and Hezbollah during Israel’s recent wars in Gaza and Lebanon, including the Galilee and southern periphery.
Construction and rebuilding of places struck by rockets fired from Lebanon, in the Northern Israeli town of Metula, on the border with Lebanon. June 22, 2026. (Chen Leopold/FLASH90)
Reservists will receive a full exemption from payment for the value of the land in these areas, although they will still be responsible for development costs.
Netanyahu said the measures were intended to recognize the sacrifices made by reservists and provide housing assistance to thousands who do not currently own a home.
“Our heroic reservists give everything for the country, and they deserve everything,” Netanyahu said, adding that the government had already provided NIS 25 billion in assistance to reservists and their families through government decisions and legislation.
“This is huge news for 20,000 reservists who are without housing,” Netanyahu said. “There has never been anything like this. It is about time.”
The move comes ahead of elections scheduled for October 27, and amid mounting anger at the government over its efforts to enshrine sweeping draft exemptions for the ultra-Orthodox community.
Criticism has been particularly loud in far-right Smotrich’s Religious Zionism party, whose constituents often combine yeshiva studies with military service.
Some 72,000 ultra-Orthodox men aged 18 to 24 are currently believed to be eligible for military service, but have not enlisted. The IDF has said repeatedly in recent months that it urgently needs 12,000 new recruits amid the ongoing multifront conflict.
Israel’s housing market has slowed over the past year, partly in reaction to the multifront war Israel has been engaged in since Hamas invaded southern Israel on October 7, 2023. High interest rates, a record supply of unsold new housing, and high prices have also helped to tamp down sales.
However, the slight drop has done little to help many Israelis who see home ownership as largely unattainable after housing prices rose by hundreds of percent over the last two decades.
Times of Israel Staff contributed to this report
Help us report truthfully on social media
As a multimedia journalist, my job is to take the quality, fact-based journalism produced by The Times of Israel newsroom and make it accessible across every platform — from Instagram posts to podcasts to short-form videos.
This is how many, especially young people, consume news these days. But misinformation is rampant on social media. Our team at ToI produces accurate, responsible short-form reporting on Israel and the Jewish world.
If you believe in the importance of factual social media journalism, please consider joining our reader support group, The Times of Israel Community. Your financial support is essential to sustain responsible multimedia reporting.
— Gabriella Jacobs, multimedia journalist
Already a member? Sign in to stop seeing this
You’re a dedicated reader
That’s why we started the Times of Israel – to provide discerning readers like you with must-read coverage of Israel and the Jewish world.
So now we have a request. Unlike other news outlets, we haven’t put up a paywall. But as the journalism we do is costly, we invite readers for whom The Times of Israel has become important to help support our work by joining The Times of Israel Community.
For as little as $6 a month you can help support our quality journalism while enjoying The Times of Israel AD-FREE, as well as accessing exclusive content available only to Times of Israel Community members.
Thank you,
David Horovitz, Founding Editor of The Times of Israel