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Our Subsidies

Owning your own home is easire than you think.

Individual Subsidy

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This programme provides access to state assistance where qualifying households wish to acquire an existing house or a vacant serviced residential stand, linked to a house construction contract through an approved mortgage loan. These properties are available in the normal secondary housing market or have been developed, as part of projects not financed through one of the National Housing Programmes.

These subsidies are available to individual beneficiaries who wish to buy an existing house or a stand, linked to a house building contract in the market. These subsidies are available on a first come first serve basis and may be credit linked or non credit linked.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependants.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Consolidation Subsidy

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The consolidation subsidy is available to a beneficiary who has already received assistance through government to acquire a serviced residential site under the pre-1994 housing scheme. This subsidy is applicable to serviced sites that were obtained on the basis of ownership, leasehold or deed of grant and must be utilised to construct or upgrade a top structure on the relevant property.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependants.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Institutional Subsidy

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Institutional Housing Subsidies are available to Housing Institutions that provide tenure arrangements alternative to immediate ownership (such as rental, installment sale, share block or co-operative tenure) to subsidy beneficiaries.

The subsidy will enable Housing Institutions to undertake approved projects and to enable them to create affordable housing stock for beneficiaries to live in subsidised residential properties.

The rental unit may not be transferred to the beneficiary within the first four years of occupation. A further condition is that the legal entity must in addition to the subsidy, make its own capital investment in the property.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependents.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Assistance to destitute and other vulnerable Groups

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Who is the destitute person ?

A destitute individual is one who has lost his/her productive capacity and is unable to engage in economic activities and has no shelter or close family members that can assist him/her.

This definition can be further defended in terms of the following:

• An individual who has lost his productive capability such that he/she cannot plough the land he/ she owns due to ill health arising from natural illness, serious accidental injury and/or paralysis and has no shelter or close family members that can assist him/ her.

• An individual who is experiencing hardship due to loss of employment, income and the resultant loss of shelter through repossession by any financial institution.

• An individual who is physically or mentally incapable of working due to old age, physical or mental impairment and has no shelter and no family to assist him/her.

• A minor, or children whose parent (s) has/have died as a result of HIV/Aids or a minor whose been deserted by either the father/mother.

• An individual who has been rendered homeless due to fire, floods or any other natural disaster, social upheaval (violence) or temporary hardship.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependents.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.
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Informal Settlement Upgrading Programme

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The programme facilitates the structured upgrading of informal settlements. It applies to in situ upgrading of informal settlements as well as where communities are to be relocated for a variety of reasons. The programme entails extensive community consultation and participation, emergency basic services provision, permanent services provision and security of tenure.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed+ marriage certificate.
  3. Birth certificate of children and identity document of your dependants.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Assistance to Military Veterans

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The Department is expected to provide 50 square metre
houses to Military Veterans with a top up from the Department of Military Veterans.

Who is the Military Veteran?

Qualification criteria?
Household income less than R125 000 per annum, income of R10 416,67 per month
Spouse or dependents not required

NB: Dependents of deceased are not considered at present.

Enhanced People’s Housing Process (EPHP)

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The Enhanced People’s Housing Process aims to support household who wish to enhance their housing subsidies by making decisions building their own homes.

The Enhanced People’s Housing Process aims to support beneficiaries who wish to maximise their participation and decision making in Human Settlements development.

The enhanced people’s Housing process can be accessed through the Integrated Residential Development Programme, Project Linked Consolidation, Institutional or Rural Subsidies as well as technical and other forms of assistance in the house building process.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependents.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Rural Subsidy : Communal Land Rights

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This subsidy is available to beneficiaries who only enjoy functional tenure rights to the land they occupy. This land is normally in rural areas and belongs to the state and is governed by traditional authorities.
The subsidies are only available on a project basis and beneficiaries are supported by implementing agents. Beneficiaries also have the right to decide how to use their subsidies either for service provision, on building of houses or a combination thereof.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed + marriage certificate.
  3. Birth certificate of children and identity document of your dependants.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Finance Linked Individual Subsidy Programme (FLISP)

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Government housing Subsidy Available to First Time Home Owners Earning Between R 3501 – R 22000 – Who qualify for home loans.

What is FLISP?

Finance Linked Individual Subsidy Program, better known as FLISP, was developed by the Department of Human Settlement to enable affordable first time home-ownership opportunities to South African citizens and legal permanent residents earning between R 3 501 and R 22 000 per month, (the “affordable” or “gap” market). Individuals in these salary bands generally find it hard to qualify for housing finance; their income is regarded as low for mortgage finance, but too high to qualify for the government “free-basic-house” subsidy scheme.

The subsidy will be used to decrease the mortgage bond and is only applicable to persons who have never been assisted by the state. It will be disbursed as a once off subsidy.

What to do with FLISP?

Qualifying applicants may use FLISP to do one of the following:

• buy an existing, new or old, residential property.
• buy a vacant serviced residential-stand, linked to an NHBRC registered home-builder.
• contract or build a residential property on a self-owned serviced residential stand, through an NHBRC registered home-builder.

The once-off FLISP subsidy amount ranges between R 20 000 and R 87 000, depending on the applicant’s income. The maximum price of a property that can be financed through FLISP is not limited ,but the applicant has to meet the income bracket (R 3501- R 22 0000).

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Subsidy Variation For Extraordinary Development Conditions And Disabled People

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In order to ensure that housing units delivered through the National Housing Scheme are adjusted to accommodate the special housing needs of a disabled beneficiary (or a member of the beneficiary household) to enable them to live independently, certain additions/alterations are necessary.

The developer will therefore submit an application for the adjustment of the subsidy amount for extraordinary development conditions on the applicable form with all relevant information (e.g. proof of disabilities) to enable the decision-making authority to evaluate the application.

The MEC may require additional information before the final decision can be conveyed to the Developer.

Government cares for people with disabilities. Thus, those who qualify for a housing subsidy will receive additional amounts to improve their houses with special additions such as paving and ramps to the outside doors, grab rails in bathrooms, kick plates on doors and visible door bells for the deaf.

To qualify one must:

  1. Be South African citizen or hold of a permanent residence permit.
  2. Be 18 years and older.
  3. Be married or habitually cohabit.
  4. Be single and have financial dependents constantly living with you.
  5. Single people without financial dependents, such as the aged, people with disabilities and military veterans may be assisted.
  6. Must earn 0-R 3500.
  7. Not owned a house in the past.

WHAT DOCUMENTS MUST I HAVE IN ORDER TO APPLY FOR HOUSING SUBSIDY

  1. A green Bar Identity Document or Identity Card.
  2. If married, a spouse ID book is needed+ marriage certificate.
  3. Birth certificate of children and identity document of your dependants.
  4. Proof of income.
  5. Death certificate, if spouse died.
  6. Divorce decree, if divorced.

Housing Assistance In Emergency Circumstances

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WHAT IS THE PROGRAMME ABOUT?

During the process of upgrading informal settlements, it may be necessary to temporarily re-house households while services are being installed or formal houses are being built on sites previously occupied by informal structures. Likewise it may be necessary to provide temporary housing relief to households in stress following natural or man-made disasters (e.g. where settlements have been destroyed by fire or houses have been rendered uninhabitable by storms and need to be repaired). In such cases the National Disaster Relief Fund renders the first line of Government assistance. The Emergency Housing Assistance Programme may then be used for temporary housing for disaster victims until such time as they can be provided with permanent houses.

WHO WILL BE ASSISTED?

This Programme will apply to emergency situations of exceptional housing need, such situations being referred to as “Emergencies”. The Programme will benefit all affected persons who are not in a position to address their housing emergency from their own resources or from other sources such as the proceeds of house insurance policies.

THE FOLLOWING HOUSEHOLDS WILL QUALIFY FOR ASSISTANCE UNDER THIS PROGRAMME:

  • Households that comply with the Housing Subsidy Scheme qualification criteria;
  •  In certain cases households/persons with a monthly income exceeding the maximum income set for subsidisation as approved by MINMEC may also apply for assistance under this Programme;
  •  Households headed by minors, who are not competent to contract may benefit with assistance from the Department responsible for Social Development;
  •  Persons without dependants; and
  •  Persons who are not first-time home owners.

Applications from the following people may be considered on a case-by-case basis:

• Persons who have previously received housing assistance and who previously owned and/or currently own a residential property; and

• Immigrants whose residence status is uncertain on the conditions prescribed by the Department of Home Affairs.

Economic Opportunities

Youth Brigade

The National department of Human Settlements identified a need for a dedicated programme for the participation of youth in human settlements delivery through service. To this end the Human Settlement Youth Empowerment Programme was established in a form of a National Human Settlements Youth Brigade (NHSYB).

The main purpose of the Human Settlements Youth Brigade programme is to provide exposure to Human Settlements, training, employment and economic opportunities for young people and the focus is on mostly Mega (Catalytic) projects and the entire value chain so as to instill self-reliance and patriotism / national pride. It should be noted however, that in the Eastern Cape the programme is spread across all district municipal areas. In order to facilitate smooth running of the program an implementation process/ guideline was considered essential.

1. JOB CREATION No Stipend is provided for this category as the youth will part of the labour force of the contractor and will be paid the applicable wages by the contractor from project funds as part of normal labour or sub –contractors.

2. ARTISAN DEVELOPMENT This is essentially related to the National Youth Services (NYS) programme. This entails Recruitment , Technical Training (off site) and On site training / Community Service The total duration for the Artisan Development programme therefore is 12 months during which stipend of R1500.00 is payable to each youth Brigade member.

3. PROFESSIONAL DEVELOPMENT The trained youth will be supported to access tertiary education opportunities.

4. EXIT STRATEGIES (AFTER CARE) The youth that have undergone the various training programmes will be given guidance & may therefore; Form their own companies; Establish Co-operatives or Joint Ventures with other youth.

Emerging Contractor

The Emerging Contractor Development targets enterprises owned, managed and controlled by previously disadvantaged persons, (classified as Africans, Indians, and coloured , women, youth and people with disabilities).

Human Settlements Emerging Contractors and EPWP Support is responsible for:

SMME Development towards sustainable enterprises (Construction).
EPWP Support (Expanded Public Works Programme.

1. EMERGING CONTRACTOR DEVELOPMENT
The Support of emerging contractors business in our data base to become sustainable Business Enterprise in construction sector.

Requirements for emerging contractors to be registred to the programme :

NHBRC CERTIFICATE, CIPRO,TAX CLEARANCE CERTIFICATE, COMPANY PROFILE, CIDB and BEE CERTIFICATE.

1.1 EPWP SUPPORT Under this programme the department ensures EPWP compliance through report on number of jobs created through Housing Projects. The following programmes are undertaken at this stage:

1.2 FET COLLEGE PARTNERSHIPS Artisan Development Programme: Youth is enrolled on FET Colleges for formal technical education for a period of eighteen (18) months, be placed on site for another eighteen (18) months doing practical work.

Requirements: Grade 12 (with Mathematics and Science as passed subjects) Construction Management training from NHBRC

Our Work

Listed below are our key success factors thus far.

TOTAL HOUSES

*1994 - 2018

i

TITLE DEEDS ISSUED

*1994 - 2018

HOUSES RECTIFIED

*1994 - 2018

SERVICES INSTALLED

* 1994- 2018

SOCIAL RENTAL UNITS

* 1994- 2018

Ha ACQUIRED

* 1994- 2018

FLISP

* 2014- 2018

JOBS CREATED

* 1994- 2018

TRAINING OPPORTUNITIES

* 2014- 2018

* Taken from the Eastern Cape Department of Human Settlements  25 year Service Delivery Review Report

UPCOMING EVENTS

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