Garena Properties

DID YOU KNOW?💡

Before you take a home loan as a South African, first check whether you qualify for a Government Home subsidy of up to R120 000 for FREE called Finance Linked Individual Subsidy Programme (FLISP)

Here is how it works:

The Finance Linked Individual Subsidy Programme is a subsidy established by government which aims to provide the poor and the low to middle income households with access to adequate housing.
Qualifying households for this subsidy are those that in the gap market that is - those that do not qualify for a fully subsidised house and at the same time they do not qualify for mortgage loan from the banks. These are families earning between R3501.00 and R22 000-00 per month.

Individuals who are unable to secure a mortgage loan may apply for the allocation of a vacant serviced stand.
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 towards the repayment of the bond. The subsidy attaches to the beneficiary and not to the property.

The subsidy may be used to
To buy new or old residential property
To buy a vacant serviced residential-stand, linked to an NHBRC registered homebuilder contract; or
To build property on a self-owned serviced residential stand, through an NHBRC registered homebuilder

FOR DETAILS ON HOW TO ACCESS THE GRANT, CLICK ON THE LINK BELOW :
http://www.dhs.gov.za/content/finance-linked-individual-subsidy-projects

Why the occupational clause is important in a contract of sale?

Occupation refers to the date that the purchaser is placed in a position to take control of the property purchased. It does not refer to the date of actually moving into the property. Thus if the contract stipulates that occupation is on 1 July and the purchaser moves in on 3 July occupational rent will be charged from 1 July.

On the occupation date the purchaser becomes an occupant and not a tenant as defined under the Rental Housing Act. The agent must guide the parties in coming to an agreement which protects both sides and doesn’t expose the seller to unnecessary risk. It is important to always agree on the specifics of the occupation date and the occupational rent when signing the contract and never to leave it to be decided at a later date.

When the circumstances change, it can always be amended by way of an addendum drafted by the conveyancer