The houses were originally built for the private market
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Families in Lurgan will be given the keys to new houses built for the private market, which will now be used for social housing.
The homes were bought by the Department of Social Development from a developer.
Social Development Minister Margaret Ritchie said in an area with an urgent need for more housing, it was cheaper to buy than to build.
"It's about tackling need, not bailing out developers," the minister said.
"It's about buying the right houses at the right price in the right place for people who desperately need them in places where there is acute housing need and Lurgan is one such place."
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