Mashilo pledges R30 million to benefit middle income earners

The Mpumalanga Department of Human Settlements has set aside R30 m to help subsidise middle-income earners in need of housing.

The department is running the housing subsidy programme in partnership with the National Housing Finance Corporation.

MEC Speedy Mashilo said the drive is in line with the department’s efforts to accelerate the delivery of houses to middle-income earners and first-time home owners.

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He said the allocated budget is meant to assist the department in attaining its target of 200 units under the Finance Linked Individual Subsidy Programme (Flisp), which is now referred to as “Help Me Buy a Home”, as announced by

Mashilo during his 2022/23 budget vote speech recently.

Delivering the presentation, Mashilo alluded to the fact that Flisp remains instrumental in assisting deserving middle income earners by subsidising them. The prospective beneficiaries ought to have been approved for a bond and be first-time property owners.

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“With effect from April 1, 2022, the Flisp quantum range has increased by between 7.2% and 10%, which translates to R147 045 per applicant, depending on other financial variables,” said Mashilo.

The success of this programme and meeting of its targets is dependent on both government inviting and encouraging people to exploit these opportunities, as well as qualifying persons heeding the call.

“We call on all persons earning between R3 501 and R22 000 to take advantage of this programme. The subsidy we provide them will go a long way in reducing the bond instalments, making them more affordable,” said Mashilo.

He said the programme has been experiencing challenges in the past, with fewer people accessing it, thus, the need for the department to strengthen its campaigns to get more people to apply.

Judging from last year’s delivery, this intervention has yielded some results, with the department managing to achieve 57 units.