The Western Cape Department of Infrastructure, in collaboration with Mossel Bay Municipality, is implementing an innovative ‘occupy now- buy later’  fast track — no home loan needed to move in with an Instalment Sale Agreement

Two-bedroom homes are now available in the Mountain View development in Mossel Bay: qualify for the First Home Finance (FLISP) subsidy, rent from R 2 600 per month (T&Cs apply), and become the owner — through the Instalment Sale & Rent2Buy programme facilitated by MDW INC Attorneys.

An incredible opportunity awaits first-time buyer to secure a brand-new 2-bedroom home in Mountain View. First-time home buyers can now fast-track occupation of their new homes in the Mountain View development in Mossel Bay, through an Instalment Sale Agreement. Offering early occupation, with a reduced rental for a 2-year period, first-time buyers become ‘bond-ready’ through the support of the “MyBudget Fitness” Programme. With improved affordability and credit scores, first -time buyers are then able to apply for a home loan and, once approved, take transfer of the property.

The breakthrough is speed and simplicity: to fast-track occupation, the ‘tenant-buyer’ only needs to qualify for a First Home Finance subsidy and be able to pay an occupational rental of between R2 600 and R4 500 per month. No prior bond approval is required to move in.

Even better, this rental is calculated after the subsidy the buyer qualifies for is deducted upfront from the purchase price — a concept that opens the door for many first-time buyers to secure their own homes. A ‘tenant-buyer’ can save hundreds of Rands per month compared to ordinary rental payments. The ‘tenant-buyer’ pays the standard municipal rates, taxes and utilities.

“Public Service Employees are sitting on two pots of gold — a GEHS savings and a First Home Finance subsidy. Together, they can be used as a powerful double deposit to secure your very own home.”
— Meyer de Waal, Attorney & Conveyancer, MDW INC Attorneys, Cape Town, appointed for the marketing and sales of the Mountain View project

Why This Is a Game-Changer for First-Time Buyers

• Move in much faster — occupy your new home now on a 2-year rental instead of waiting for bond approval.
• Simplified upfront qualification needed — qualify for the First Home Finance (FLISP) subsidy and can afford rent of R2 600 – R4 500 per month.
• Your subsidy works upfront — the subsidy is deducted from the purchase price before your rental is calculated, lowering your monthly payment.
• Time to get loan-ready — use the 2-year window to settle debts and improve your credit profile, then apply for a home loan and take transfer — all while already living in your own home.

How the Fast-Track Works — 5 Simple Steps

1. Get qualified — confirm your First Home Finance subsidy eligibility with the sales team (minimum income in the Mountain View project: R11 000 per month- max R22 000.00 gross household income).
2. Choose your home — select an available 2-bedroom home in the Mountain View development.
3. Subsidy deducted upfront — your qualifying subsidy is deducted from the purchase price and your rental of between R2 600 – R4 500 per month is calculated on the balance. (Terms and Conditions apply).
4. Move in and rent for 2 years — take occupation of your new home once your Instalment Sale contract is registered in the Deeds Office and have time to build your credit profile.
5. Apply for your home loan and take transfer — once approved, the home is registered in your name.

Extra Bonus for Government Employees: Double Savings

Thousands of South African public servants and first-time buyers remain unaware that they are entitled to two significant financial benefits that — and can be combined — and can unlock home ownership without the need for traditional upfront home loan approval.

MDW INC Attorneys and the My Budget Fitness Team, appointed for the marketing and sales of the Mountain View project, are excited to make the dream of owning your own home a reality through an innovative Instalment Sale Agreement — a legally recognised home purchase structure in place since 1981, offered nationally as the Rent2Buy rent-to-own programme (www.irent2buy.co.za).

1. GEHS Savings — Government Employees Housing Scheme

If you are a public servant who does not currently own a home and is paying rent, a housing savings allowance is automatically accumulated on your behalf each month. Many employees have built up savings exceeding R100 000 or more — yet cannot access these funds because they cannot qualify for a traditional home loan.

2. First Home Finance (FLISP) Subsidy

The First Home Finance subsidy — formerly known as FLISP — is a government housing subsidy available to qualifying first-time buyers.

Employees earning between R3 501 and R22 000 per month may qualify for a substantial subsidy of between R30 001 and R130 505. Since 1 April 2022, this subsidy no longer requires a conventional home loan as a trigger and can now be unlocked through an Instalment Sale Agreement.

In the Mountain View project, the minimum income required is R11 000.00 per month.

The Legal Structure: The Instalment Sale Agreement

An Instalment Sale Agreement, regulated by the Alienation of Land Act No. 61 of 1981, allows a buyer to take occupation of a property and pay for it in instalments — much like a rental arrangement — while the purchase price is settled over an agreed period (typically 24 months).

Critically, once the Instalment Sale Agreement is registered against the title deed at the Deeds Office, both the GEHS savings and the First Home Finance subsidy are immediately released to the seller — reducing the outstanding purchase price and lowering the buyer’s monthly instalment significantly.

This gives the buyer a 2 year window to settle debts, improve their credit profile, and ultimately qualify for a home loan to finalise the purchase — all while already living in their own home.

A Real-World Example

Consider Mrs A, a public servant earning R15 000 per month, with accumulated GEHS savings of R35 000, a qualifying First Home Finance subsidy of R86 000, and a credit profile that currently prevents her from securing a conventional home loan.

Item	Amount	Monthly payment
Purchase Price	R429 000	R4 500 pm
Less: First Home Finance Subsidy	− R86 000
Less: GEHS Savings	− R35 000
Balance of Purchase Price	R308 000
Revised Monthly rental amount		R2 695 pm
Monthly Saving for Mrs A		R1 806 pm

 

Note: Revised monthly instalment reflects the interest-serving instalment on the reduced balance of R308 000, rental calculated at the current prime lending rate of 10.5%, during the 24 month Instalment Sale period — ahead of a conventional home loan (typically 20 years) to take transfer.

 Provision must also be made for municipal costs including rates & taxes and services. This example is for illustration only — every applicant receives an individual affordability and eligibility assessment.

How to Get Started — Fast-Track Your Application Today

View the property online: Click here to view the 2-bedroom home

Book a viewing with Vusi (resident estate agent): mountainviewmosselbay.co.za/book-a-viewing

Get qualified & more information: mountainviewmosselbay.co.za/campaigns

These links connect you directly to the MDW INC and My Budget Fitness property sales team.

Our team will assess your First Home Finance eligibility, your GEHS savings balance (if you are a public servant), and identify the most suitable property for your budget — so you can fast-track your application and move into your new home much faster. More rent-to-buy properties across South Africa: www.irent2buy.co.za.

Frequently Asked Questions

Can I move into a Mountain View home without a pre-bond approval?

Yes.  A rent-now, buy-later fast track: qualify for the First Home Finance (FLISP) subsidy, pay a rental of R2 600 – R4 500 per month, and move in — no home loan approval is required to take occupation. (disclaimer – rental for each tenant buyer will differ as per the subsidy and GEHS savings [if available]).

Does the FLISP / First Home Finance subsidy still require a bond?

No. Since 1 April 2022, First Home Finance (formerly FLISP) can be accessed through an Instalment Sale Agreement, not only through an approved home loan.

What income do I need to qualify for Mountain View?

A minimum household income of R11 000 per month, within the First Home Finance band of R3 501 – R22 000 per month for first-time buyers.

Can I use my GEHS savings without a home loan?

Yes. Once an Instalment Sale Agreement is registered against the property’s title deed, enrolled GEHS members can apply for their accumulated savings to be released towards the purchase price — no bond approval is required.

What is rent-to-buy (rent-to-own) in South Africa?

Rent-to-buy allows you to move into a home and pay monthly instalments while working towards full ownership. Under the Rent2Buy programme, your payments settle an agreed purchase price under the Alienation of Land Act, and ownership transfers to you once the balance is financed or paid. The final and last payment is through the proceeds of a home loan that one must qualify for.

About Mountain View Mossel Bay

Mountain View is a residential development in Mossel Bay, Western Cape, offering brand-new 2-bedroom homes to first-time buyers under the approved rent-now, buy-later fast track. Marketing and sales: MDW INC Attorneys and the My Budget Fitness Team. www.mountainviewmosselbay.co.za

About MDW Inc Attorneys and Rent2Buy

MDW INC Attorneys is a Cape Town law firm founded in 1989 by Meyer de Waal, specialising in property law, conveyancing and affordable housing finance innovation.

MDW INC pioneered the Rent2Buy rent-to-own home ownership model in South Africa (www.irent2buy.co.za). My Budget Fitness prepares buyers to become bond-ready through budget coaching, credit rehabilitation and affordability assessment — from where you are to bond-ready.

CONTACT On-site Agent — Vusi (Vuyisile Gxelesha) — Vuyisile@mdwinc.co.za Website: www.mountainviewmosselbay.co.za MDW INC Attorneys, Cape Town — https://mdwinc.co.za/services/ Meyer de Waal | Attorney & Director — meyer@mdwinc.co.za More rent-to-buy properties: irent2buy.co.za  |  flisp.co.za

 

While every reasonable effort is taken to ensure the accuracy and soundness of the contents of this publication, neither the writers of articles nor the publisher will bear any responsibility for the consequences of any actions based on information or recommendations contained herein. Our material is for informational purposes.