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On 1 April, the Western Cape Department of Human Settlements will open applications for its Individual Subsidy. Applications only open once a year, in April, and close as soon as the subsidy allocation limit has been reached.  The Individual Subsidy is aimed at residents with a household income of between R0 and R3500, and allows one to: buy an existing house; buy a house on a plot-and-plan basis, or to finish an incomplete house. The subsidy amount is just over R200,000 and is paid directly to a seller, conveyancer, financier or contractor, depending on the case. Successful applicants will receive this subsidy only once.

There are various housing subsides available from the Department that does not require citizens to wait for a government housing development in your area. Assistance provided via the Individual Subsidy allows residents to, for example, identify a house for sale for the subsidy amount, or use it as a top-up, to purchase a home. As there is a limited budget, assistance with this subsidy is only provided once a year and is allocated on a first-come-first-serve basis. Priority will be given to applicants who are elderly or have special needs (ie. disabled).

“The Individual Subsidy is one of the subsidy programmes that can assist Western Cape residents with a housing opportunity, without waiting for a specific government housing development to be built in an area. The subsidy can be used to purchase an existing house or to build a house on a vacant plot owned by the applicant” commented Ms Phila Mayisela, Acting Head of Department.

To qualify for this subsidy residents must :

  • Be registered on the housing demand database (ie. waiting list)  at your nearest municipality;
  • Must have been on the housing database for a minimum period of 10 years in Cape Town, and 5 years in areas outside of Cape Town;
  • Be a South African citizen or have a permanent residency permit;
  • 18 years or older;
  • Be married or living with a partner;
  • Be single or divorced, and have proven financial dependents living with you permanently;
  • Not have owned a property before;
  • Earn a monthly household income of R3500 or less, before deductions;
  • Not have received a housing subsidy from government before.

Western Cape residents who are still on the waiting list, meet the qualification criteria, and are interested in applying for the Individual Subsidy, are urged to submit their applications from 01 April at the Department of Human Settlements offices in Cape Town. More information, including application forms, for this subsidy can be found on the Department’s website.