Their journey to freedom is expected to begin at 8am (4pm AEDT) from the Netzarim corridor and continue until at 10am (6pm AEDT) in Gaza's Khan Younis, Israeli media reported on Monday.
US President Donald Trump is expected to greet the hostages before making a speech in Israel's parliament as the fragile Gaza ceasefire he helped to broker enters a fourth day.
Trump's Knesset speech follows two years of war sparked by a Hamas attack on October 7, 2023, that killed around 1200 people in Israel with 251 taken hostage.
Israeli airstrikes and ground assaults have since devastated Gaza, killing more than 67,000 Palestinians, the enclave's health officials say.
"The war is over," Trump told reporters aboard Air Force One as he began his flight from Washington to Israel.
Asked about prospects for the region, he said: "I think it's going to normalise."
The UN said humanitarian aid was ramping up, with cooking gas entering for the first time since March and expanded food and medical deliveries.
The truce and the exchange of both hostages and prisoners offered a glimmer of hope, but despite Trump's optimism, the loss of life, devastation and trauma underscored how distant a lasting peace remains.
Progress now hinges on global commitments that could be taken up by a summit later on Monday of more than 20 world leaders led by Trump in Egypt's Sharm el-Sheikh resort.
Palestinian President Mahmoud Abbas will attend the summit in Egypt, an Axios reporter said on Sunday, citing a senior Palestinian official. No Israeli officials will attend.
The Israeli Justice Ministry released the names of 250 Palestinians convicted of murder and other serious crimes due to be released in the exchange for tehir hostages.
The list excluded high-profile figures such as senior Hamas commanders as well as Marwan Barghouti and Ahmed Saadat - key demands from Hamas.
Talks over the final list were ongoing, said the Hamas prisoners information office. Also to be released were 1700 Gazans detained since October 7, 2023.
On the ground, Palestinians returning to northern Gaza described scenes of staggering destruction.
"We couldn't believe the devastation," said Rami Mohammad-Ali, 37, who walked 15km with his son from Deir al Balah to Gaza City.
"We are joyful to return, but bitter about the destruction," he added, recounting the sight of human remains scattered along the roads.
Multitudes who gathered at Tel Aviv's Hostages Square cheered and waved placards in praise of Trump during a speech by his special envoy Steve Witkoff but booed loudly when Witkoff sought to thank Israeli Prime Minister Benjamin Netanyahu for his role in the ceasefire effort.
Trump will become only the fourth US president to address the Knesset, following Jimmy Carter in 1979, Bill Clinton in 1994 and George W Bush in 2008.
Israeli critics of Netanyahu, including hostages' families, accuse him of deliberately prolonging the conflict to placate his far-right government coalition partners, whose backing is crucial to his political survival.
The International Criminal Court last year issued arrest warrants for Netanyahu for alleged war crimes and crimes against humanity, which Israel denies.
"Tomorrow is the beginning of a new path. A path of building, a path of healing, and I hope – a path of uniting hearts," Netanyahu said in a televised statement on Sunday.
The US, along with Egypt, Qatar and Turkey, mediated what has been described as a first phase agreement between Israel and Hamas.
The next phase of Trump's plan calls for an international body - a "Board of Peace" led by Trump.
with AP
