FLISP Eligibility: How Your Credit Score Affects Approval

29 Oct FLISP Eligibility: How Your Credit Score Affects Approval

Posted at 10:49h in Latest News by

Are you ready to own property and have a permanent place to call home? FLISP makes it possible to become a homeowner, and FirstStep Housing helps you access this government grant to cover a shortfall after signing your OTP. We believe in making dreams attainable, and understand that foundations like safe, secure housing create the stability that families need to thrive.

The Finance Linked Individual Subsidy Programme (FLISP), also known as First Home Finance, empowers qualifying South Africans to purchase their first homes. Have you decided if you will use FLISP to buy a house with cash, a loan, or a pension? This is where FLISP eligibility and how your credit score affects approval come into play.

When Your Credit Score Matters

Since this grant is not a loan that needs to be repaid, your credit score does not directly impact your FLISP application. However, if you plan to access a home loan to use with your FLISP housing subsidy, your credit score will be assessed as part of the loan application process. If your credit score does not qualify you for your home loan and you get rejected, you will not be able to access First Home Finance.

Like anything, your credit score can be restored with the right approach and commitment. With South Africa’s property market hit by the growing divide between affordability and access, it is more important than ever to prioritise homeownership, whatever it takes.

FLISP Eligibility: How Your Credit Score Affects Approval

When Your Credit Score Doesn’t Matter

If you use your personal savings, employer housing assistance, or retirement fund to supplement the FLISP grant, you do not have to worry about your credit score holding you back. Your credit is only considered when you borrow money from a financial institution, but various other forms of financing can also work in combination with FLISP. This means that you can benefit from First Home Finance regardless of your financial history. Numerous shortfall solutions are bridging the gap to homeownership.

Access FLISP with FirstStep Housing

First, make sure you meet the qualifying criteria for FLISP. If you are 18 or older, a South African citizen or permanent resident, live with a partner or dependents, and have never owned property before, you may be an ideal candidate. Your household income also needs to fall between R3,500 and R22,000 per month combined. If you’re ticking all these boxes, we can help you pursue homeownership by applying for FLISP.

What is Needed to Apply:

Before our FirstStep Housing team can assist you in your application for First Home Finance, please have the following ready for us:

  • Certified copy of your marriage certificate (if married)
  • Certified divorce decree/settlement agreement (if divorced)
  • Birth certificates for children under 18 years of age
  • Certified SA ID/permanent residency permit
  • Certified proof of monthly income
  • The details and OTP of the property you intend to buy

When it comes to FLISP Housing and how to get your subsidy, there are many advantages to working with professionals to achieve the best outcome. We have extensive experience, time, and an understanding of the process. From submitting your application to following up for prompt review, to finding and comparing bonds that comply with FLISP, we’re on your side every step of the way. APPLY NOW and look forward to what lies ahead.