FNB is helping future home-owners get home loans through employer-backed partnerships. Picture: Bloomberg

DURBAN – FNB is partnering with various stakeholders to create more opportunities for first-time buyers own their dream homes. 

As a result, there has been an increase in the amount of new FNB home loans that are produced through employer-backed partnerships. 

The FNB Home Finance Division Channel Head for Housing Schemes Mpho Ramatong said that the partnerships which are also known as Housing Schemes are designed at making home-ownership a reality for more people in South Africa through subsidies and rental assistance programmes. 

"Employer backed-partnerships have created an environment where corporates and lenders can work together to reach more consumers and provide them with sustainable access to home," said Ramatong. 

The agreements also flexibility as they can be adapted to the needs of a particular organisation which allows for more innovative solutions that are not restricted by traditional lending models which have many limitations. 

According to Ramatong, a formal contractual agreement has to be entered into with the employer first, then only can the home-owner benefit from the scheme.

FNB also offers compulsory education on all the facets of home ownership. The home-owners programme is offered in four formats including 60 percent eLearning is completed through online training, 35 percent of self-study (DVD, booklet and paper assessment) and 1 percent classroom training.

Also, 4 percent of the training covers all the aspects of the loan such as the loan agreement and interest rates amongst other things. 

On the reasons why FNB created Housing Schemes, Ramatong said, "We’re helping people go from being a resident without certainty, to being an owner contributing towards the future of their community in partnership with government to close the housing delivery and home-ownership gap and to also strengthen affordability through employer-supported subsidies".

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