What is FLISP?
The South African government's First Home Finance program (previously known as FLISP) empowers low-income earners to become homeowners. Here's how it helps you to buy your first home:
Who qualifies?The South African Department of Human Settlements put the First Home Finance Subsidy in place to create sustainable and affordable first-time homeownership opportunities in our country, for citizens and permanent residents, who earn between R3,501 and R22,000 per month. The price of a property that can be financed through the First Home Finance Subsidy is determined by joint household income of up to R22,000 per month.
How does the First Home Finance Subsidy help you?If you are a qualifying low-income earner, the First Home Finance Subsidy will reduce the initial home loan amount you need to secure. Or, the First Home Finance Subsidy could contribute to bridging the gap between the home loan you qualify for and the price of the property you want to buy.
What can you do with your First Home Finance Subsidy?
If you qualify to buy a residential property with the First Home Finance Subsidy, you can choose between development housing projects or the open market and use it in one of four ways:
- Buy an existing residential property - old or new.
- Buy a vacant, serviced residential stand, but it must be linked to a homebuilder registered with the National Homebuilders Registration Council (NHBRC).
- Build on a serviced residential stand that you own, but it must be linked to an NHBRC-registered homebuilder.
- Build on a tribal stand that you have permission to occupy, but it must be linked to an NHBRC-registered homebuilder.