Home Loans For Low Income Earners

All the major banks in South Africa now offer home loans for low-income earners. These bonds are available to families who are unable to qualify for RDP houses, housing subsidies, or who were previously unable to meet the minimum requirements to secure a home loan from the bank.

South Africa is currently experiencing a large emerging middle market that is driving demand for affordable housing. This trend has caused the government to set up innovative products and initiatives between private developers and local banks to assist homeownership among lower-income earners.

These new affordable houses are typically priced around R300 000 and range between 50sqm and 80sqm in size.

Below is a list of banks that offer home loans to lower-income earners:

ABSA (My Home)
The ‘My Home’ product from ABSA home loans is available to clients who earn an income of at least R1500, and up to R7500 per month. 100% home loans are available if your credit record is clear and meets the minimum requirements.

FNB (Smart Bond)
The FNB Housing Finance Smart Bond is available to clients who are applying for a loan of up to R450 000. To qualify for the Smart Bond you’ll need to earn a monthly income of less than R18 000.

STANDARD BANK (Dreamstart)
Standard Bank’s affordable housing loan is called the Dreamstart Home Loan. This bond is aimed toward clients earning a joint or single income of between R1500 and R6000 per month.

Each of these new affordable housing home loans include a new home buyer program that the banks have set up to help educate and assist their clients along the process of investing in their own home. The program is offered for free to first-time home buyers.

How To Apply For An Affordable Housing Home Loan
Each of these home loans are available via your branch, but for faster approval and a better interest rate, it is best to speak to a bond originator. Your originator will be able to offer you advice from all the banks and help you secure the best offer available.

7 thoughts on “Home Loans For Low Income Earners”

  1. Joseph Gotah Msiska

    Our company specializes in building steel structures for the low income earners. We would like to find out if you can provide our clients with loans to cover the cost of structures we build.

    The cost of structures are between 35k to 120k depending on the size of structures and what is included in a specific house.
    I hope to hear from you soon.

  2. Noluthando Gama

    I am currently employed and earning about R8000 a month , I have R300000 for a deposit and I want to buy a house worth R650000 , is it possible for me to get a home loan of R350000.

  3. Am earning 6000 per month,married have three kids renting 2 200 per month ,i have tried rdp house in Johannesburg even at home i need a home for my kids how can i get helped please i need a home for my kids

  4. Hi my name is dudu, I’m working permanent as a nurse I’m earning R8000,staying in bronkhorstspruit would like to buy a stand of R200 000 in bronkhorstspruit and build my house if I can get home loan of about R450 000 to build! My number is 0826402102

  5. Hi There

    I am MH Monene from Tembisa (Gauteng)i would like to apply a bond house.i ‘m earning R8000.00 per month.

    Kindley Regards

    MH Monene

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