Getting on the ladder? Don’t forget about Flisp

FIRST-TIME buyers are often faced with the hard task of saving for a deposit to put down on their first home.

But a change on April 1, may help, says Meyer de Waal of MDW Inc.

“Buyers can now use their Finance Linked Individual Subsidy Programme (Flisp) subsidies for a deposit, or pay for the legal fees when buying a property. This is available to all buyers who earn a gross income of between R3 501 and R22 000 per month and meet the Flisp qualifying criteria.”

The subsidy can be used as a deposit to increase the purchase price or reduce a home loan.

It can also be used to pay the legal transfer and bond registration fees.

“First-time buyers want to know where they stand to qualify for a subsidy before they go out house-hunting. They want the comfort of knowing exactly what one can qualify for and how to apply the Flisp subsidy to structure their finances, whether they use it as a deposit or as legal fees.”