FNB has welcomed the announcement that first-time home buyers will benefit from a R950 million subsidy over the next three years. File Image: IOL

JOHANNESBURG – FNB has welcomed the announcement that first-time home buyers will benefit from a R950 million subsidy over the next three years as part of government's "Our Help To Buy" initiative.

In his budget speech in Parliament on Wednesday, Finance Minister Tito Mboweni said the government would provide a subsidy of R950 million over three years in pilot projects to first-time home purchasers. 

In a statement, FNB said that while the government had made some inroads in addressing the demand for affordable housing, the supply of well-located, zoned and serviced land – with suitable structures and acceptable amenities – continued to significantly lag behind the growing demand.

The bank said it was imperative that all stakeholders in the affordable housing sector came together to develop and deliver workable solutions that not only addressed housing backlogs but also helped owners of affordable homes to leverage the value of their properties.

African News Agency (ANA)