First Home Finance, also previously known as FLISP, is an ideal home loan option for South Africans earning between R3 501 and R22 000 per month. This government-backed subsidy allows even those with a credit score lower than 610 to secure home finance, offering subsidies from R30 001 to R130 000 based on income level. The subsidy can be used as a deposit to strengthen your home loan application or paid directly towards your home loan balance, reducing monthly repayments and increasing approval chances.

Step-by-step: How to Apply

1. Visit ooba Home Loans’ online application portal for First Home Finance.
2. Fill out the easy form with your personal financial details.
3. Upload any requested documents, such as proof of income and identity.
4. Let ooba submit and track your application while keeping you updated.
5. Once approved, use your subsidy as a deposit or a lump sum on your new loan.

Advantages of First Home Finance

First Home Finance increases your chance of qualifying for a bank-approved home loan, even with a less-than-ideal credit score. By accessing a government-backed subsidy, you strengthen the lender’s trust in your repayment ability and can receive more favourable interest rates.

You also enjoy flexibility. The subsidy can be applied as a deposit to reduce your total borrowing cost, or given directly to the lender to lower your monthly bond repayments significantly from the start.

Disadvantages to Consider

This subsidy is only open to South African citizens or permanent residents with dependents who have not received a housing subsidy or owned property before. Those with higher incomes or existing homeowners will not qualify.

Another consideration is the income requirement—your total household income must fall within a specific range, potentially disqualifying applicants who earn just above the ceiling.

Verdict: Is First Home Finance Right for You?

First Home Finance remains an exceptional tool for eligible South Africans to get onto the property ladder, regardless of their credit score. If you meet the criteria, this government subsidy significantly boosts your application and can be life-changing for first-time buyers.

For those who otherwise struggle with home loan approval, especially due to low credit or limited savings, First Home Finance is highly worth pursuing—fast application, flexible use, and real financial empowerment.