Government’s Flisp subsidy can help those in the ’gap’ market buy a home

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The government-introduced Finance Linked Individual Subsidy Programme (Flisp) assists first-time buyers in the so-called “gap” market to buy their own homes. By: Bonny Fourie housingcrisis humanrights humanrightsday

The government-introduced Finance Linked Individual Subsidy Programme assists first-time buyers in the so-called “gap” market to buy their own homes.

The subsidy ranges from R27 960 to R121 626 and is calculated on a sliding scale according to the recipient’s income.* Have a home loan already approved.* Be married, co-habiting or single with a dependent.How can the Flisp subsidy be used? The subsidy can be used to increase the home buyer’s purchasing power. For example a R50 000 Flisp subsidy added to a R600 000 home loan allows the buyer to purchase a home for R650 000.

◆ Check what you can afford by comparing your income, debt repayments and living expenses to make sure you have at least 30% of your income available to repay the monthly home loan instalments. ◆ Apply for the Flisp subsidy: As soon as the home loan is approved you can submit your Flisp application. You can apply directly to the Department of Human Settlements in the Western Cape and the Free State as well as to the National Housing Finance Corporation if you live in Gauteng or KwaZulu-Natal. One can apply directly or through accredited service providers.

 

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