A four-room apartment, initially acquired through the “Price for the Tenant” program in Sderot for 700,000 shekels, was recently sold for 1.28 million shekels. This sale highlights both the challenges and benefits of the government program.
Property Ownership and History
Located in the Neot Shikma neighborhood, the 110 sqm apartment, with a 16 sqm terrace and parking, was bought five years ago with a 60,000 shekel subsidy. After resale restrictions were lifted, the property’s value doubled, demonstrating significant gains in national priority areas.
Context and Issues
This sale reflects a trend of middle-class young couples using these programs to buy in less desirable areas, then reselling to invest in more sought-after regions. This practice exposes the program’s limitations, initially aimed at stabilizing local populations.
Real Estate Outlook in Sderot
Despite conflict-related disruptions, Sderot has maintained stable prices, attracting new buyers and investors, especially due to tax benefits. The local real estate market’s resilience is surprising, particularly during crises.
Conclusion
This transaction highlights both opportunities and challenges associated with government support programs for real estate. For sustainable future growth, these programs must be evaluated and adjusted to better meet the needs of local residents and potential buyers.
