Unlocking the path to Homeownership : A Step-by-Step Guide for First-Time Buyers to secure financing successfully
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Unlocking the path to Homeownership : A Step-by-Step Guide for First-Time Buyers to secure financing successfully
Meyer de Waal Director MDW INCORPORATED
The shortage of housing in South Africa is a big problem and I am trying to buy my first house for me and my family and have not been successful . I am employed fulltime and so is my husband just very recently . I have heard of First Time Home Finance but not sure on the exact process as to how we go about my application . Can you share what are the steps and solutions available for first-time buyers like ourselves who would like to get a foothold into the property market ?
A
first-time property buyer can receive a once-off subsidy from the Government to buy a first own property . The subsidy used to be called a FLISP ( Finance Linked Individual Subsidy Programme ) and the name was changed to First Home Finance Subsidy in 2023 .
Subsidy Range The subsidy works on a sliding scale according to income . The maximum subsidy available is R 38 911 and the minimum is R 169 265 .
Who Qualifies ? To benefit from the subsidy , the combined household income of the buyer / s must not exceed R22 000 ( gross ) per month and not less than R3 501 per month . The buyer / s must have a financial dependent , such as a spouse or a child , be a South African Citizen or and over 18 years old and never owned a property before .
What type of Finance must be linked to the Subsidy ? Since April 2022 the allocation of a subsidy was de-linked from a home loan approval as a prerequisite and
9 OCT / NOV 2023 Real Estate Investor Magazine