How to Cover a Shortfall After Signing Your OTP – FirstStep

09 Sep How to Cover a Shortfall After Signing Your OTP

Posted at 15:34h in Latest News by

Do you dream of owning your first home, but do not know how to cover a shortfall after signing your OTP? At FirstStep Housing, we provide a service that streamlines your application for the FLISP housing subsidy. If approved, these funds can be paid into your home loan account, which reduces how much you owe to the bank. FLISP may be your path to first-time homeownership. As a South African citizen or permanent resident, you should take the time to explore what this government grant could mean for you.

To qualify, you need to be in what is considered the “gap market” – earning too little to be approved for a home loan, and too much to be eligible for RDP housing. This subsidy can benefit you if you earn between R3,500 and R22,000 per month (as a combined monthly income) and have never owned a property or received a government grant. You can use FLISP to buy a house with cash, a loan, or a pension; however, you must be over 18 years old and have a spouse and/or dependents in your care.

Preparing For Your Application

Before you can apply for FLISP, you must have already chosen a property and signed an offer to purchase (OTP). This signed OTP is then submitted along with your application, showing that you are in the process of buying a property. Our team can assist you in this process and understand how to cover a shortfall after signing your OTP through First Home Finance.

Using FLISP to purchase a property with a home loan is the most common, straightforward way to access this subsidy. If you are using your FLISP grant to buy a plot/build a home, you will need proof of purchase/a building contract instead of an OTP. Whatever approach you take, we can help you prepare for and submit your application, along with all the relevant documents.

How to Cover a Shortfall After Signing Your OTP

We Need the Following from You:

In addition to your OTP and the details of the property you are planning to buy, we also need the following from you and (where applicable) your spouse:

  • If married, a certified copy of your marriage certificate
  • Children’s birth certificates (for those under 18 years of age)
  • If divorced, a certified divorce decree and settlement agreement
  • Certified SA ID or permanent residency permit
  • Proof of income (certified monthly income)

FLISP Makes Homeownership Accessible

What once seemed impossible is now very achievable through the Finance Linked Individual Subsidy Programme (FLISP). You can own a property without stretching your finances too thin, with the help of the government and FirstStep Housing. If you are unsure about how to cover a shortfall after signing your OTP, look into claiming government subsidy funds for your first house.

Let FirstStep Housing work with you through each step of your journey to owning a home. You can get free government money for a house and live the life you have always dreamed about – if you qualify, you are already halfway there. We are here to help you start a new and exciting chapter in your life. APPLY NOW to get started.