The Provincial Department of Human Settlements together with the City are empowering first-time home buyers and their families through the Finance Linked Individual Subsidy Programme (FLIPS). FLISP is helping thousands of residents to get access to houses and home loans that could only have been a dream for many.
This programme is a housing subsidy for first-time home buyers. The subsidy is paid into their bank or financial institution and will reduce monthly loan instalments, making it more affordable to buy a home. Households with an income between R3 501 to R22 000 may qualify for the FLISP subsidy if they meet all the criteria.
The FLISP subsidy assists you to:
Purchase an existing residential property for the first time.
Build a new house with the assistance of a builder registered with the NHBRCon a Serviced residential stand (ie plot) that you already own.
Private Sector Workers
First time home owners with a household monthly income of R3 501 – R22 000.
Civil & Public Servants
Self-Employed South Africans
Household monthly income in the R3 501 – R22 000 category.
HAVE A HOME LOAN ‘APPROVAL IN PRINCIPLE’ FROM AN ACCREDITED SOUTH AFRICAN FINANCIAL INSTITUTION
South African citizen with a valid ID; or permanent residents with a valid permit.
Over 18 years old and competent to legally contract and has not previously owned a home that is registered with the Deeds Office.
Never have benefitted from a Government Housing Subsidy Scheme before.
Once you’ve received a home loan from a bank, the following documents are required together with the completed FLISP application:
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.
Where to Apply for a FLISP Subsidy
As FLISP is a government-backed initiative, the Department of Human Settlements administers and processes applications for a FLISP subsidy. Once you’ve been pre-approved for a home loan, apply for a FLISP subsidy at your local Department of Human Settlement office, or call the National Housing Finance Corporation on 0860 011 011.
Your FLISP Subsidy Amount
The FLISP website’s subsidy calculator works out how much you can expect to receive from your FLISP application. For example, if your household’s monthly income is between:
R3 501 and R3 700, you can apply for a FLISP subsidy of up to R121 626
R7 101 and R7 300, you can apply for a FLISP subsidy of up to R102 893
R21 801 and R22 000, you can apply for a FLISP subsidy of up to R27 960.