This is why we developed a comprehensive one-stop-online platform for the first time buyer which is available on the FLISP website .
“ Our online property finance prequalification estimator provides an outcome in real time and also provides a FLISP Subsidy Voucher that can be validated ,” says Jacques Theron of 4Me . Tech .
CAN I QUALIFY FOR FLISP WITH A POOR CREDIT SCORE ?
A first time buyer will still have to comply with the strict rules of the lending practices and guidelines as per the National Credit Act when they are trying to raise finance , be it a home loan or non-mortgage linked finance application .
“ Part of the challenge we faced in the past was providing nonbanking finance to buyers who struggle to convince a traditional bank to grant them a home loan . This is why I ’ m thrilled with the inclusion of the rent-to-own concept and instalment sales in the new housing policy .”
“ In my experience , up to 50 percent of home buyers are unsuccessful from the start due to a low or a bad credit score ,” says de Waal . “ If I look at the approximately 340 000 applications that were processed over the past 36 months , more than 185 000 aspiring buyers were unable to even be considered for a home loan , due to a low , thin or bad credit score .
“ Thanks to a partnership with My Budget Fitness , we can enable the first-time buyer with a low , thin or bad credit score to receive assistance to improve his or her credit score and get back to applying for finance as soon as the credit score is strong and healthy ,'' says de Waal . “ This service has already been made available since 2017 to a leading financial institution that specialise in unsecured lending , as assistance for their own employees .”
HOUSING POLICY NOW INCLUDES RENT- TO-OWN AND INSTALLMENT SALES
The Rent2buy programme was developed in 2007 to provide first-time buyers with a non-banking financial model to assist them in buying their first home . Subsequently , instalment sales were also added to aid buyers to get their foot in the door to own their own properties .
Private partnerships were established with property development companies such as Sinai Property Developers and
34 APRIL 2022 SA Real Estate Investor Magazine