Buying a home on a low income is challenging but entirely achievable for households earning under R22,000 per month. Government programmes like First Home Finance offer once-off subsidies that vary according to income, helping buyers reduce their loan amount or cover deposit gaps. To qualify, applicants must be South African, over 18, first-time buyers, and have bank approval in principle.
Banks assess affordability using a payment-to-income ratio of around 30%, making good credit habits and low debt essential. Many lenders also assist applicants with the subsidy process. Affordable housing developments further simplify the journey by guiding buyers through selecting a unit, signing an offer to purchase, and submitting the required documents, including bank statements, payslips and ID. With the right preparation and support, owning a home becomes a realistic goal even on modest earnings.
