- The first-time home owner’s subsidy is aimed at home buyers with low income (R3 501 – R22 000 per month).
- The subsidy is paid out by the National Housing Finance Corporation (NHFC).
- You can apply with your financial institution or with the help of a home loan comparison service such as ooba Home Loans.
The first-time home owner’s subsidy known as FLISP is what you need to get a foothold on the property ladder without breaking the bank.
The subsidy enables you to reduce the cost of your home loan and save funds for other expenses.
It is primarily targeted at low-income home buyers, as the government looks to encourage home ownership in order to strengthen the economy and promote civic responsibility.
How do I get a first-time home owner’s subsidy?
- Meet the qualification criteria.
- Apply for the subsidy, with your financial institution or home loan comparison service.
- Wait for the National Housing Finance Corporation (NHFC) to assess your application.
1. Meet the qualification criteria
- Your income must range from R3 501 to R22 000 per month.
- You must be a South African citizen with permanent residency in South Africa.
- You must not have received a government housing subsidy before.
- You must be married or cohabiting OR single with financial dependents.
- You must be over 18 years old.
- You must not have owned a fixed residential property before.
ooba Home Loans can help you apply for the first-time home owner’s subsidy.
Aside from the FLISP application form, you’ll need:
- Certified copies of identity documents (IDs).
- Certified copies of dependents’ birth certificates.
- Certified copy of marriage certificate/ Final order of divorce.
- Original recent payslip/affidavit confirming unemployment/ proof of social grant.
- Certified copy of the deed of sale / offer to purchase.
- Certified copy of the bond approval / bond quotation.
- Original/ certified copy of the statement of transfer cost from transferring attorney.
The application process via ooba Home Loans:
3. The National Housing Finance Corporation (NHFC) assesses your application
The process usually takes around 7 days.Once you receive the subsidy, you can use it as a deposit or a lump sum payment into your home loan. Either option will reduce your monthly repayments, allowing you to set aside funds for other expenses.
Can't find what you are looking for?
Ranked #1 in Banking on Hellopeter
Average rating of 4.86 from over 4 550 reviews
Simply The Best
Ooba home loans services are simply the best. My Consultant Bianca Dancer was so hands on and helpful from the get go. She guided me through the entire process and put me at ease being a first time buyer. I highly recommend their services.
Jay Govender and Maleshini Reddy from OOBA provided outstanding assistance and guidance in securing our home loan. Response times were excellent and they were professional and friendly.
Estelle Vorster was really helpful in securing the best deal for my home loan, she not only negotiated a lower interest rate she went as far as securing 50% discount on the transfer costs.