R1400 Mortgage Relief in 2025? Check If You Qualify Now

Published on: April 21, 2025

Are rising living costs tightening your budget? You’re not alone—many South Africans are scrambling to find ways to cut monthly expenses. If you own a home, your bond repayment might hold the key.

Thanks to the 2025 Mortgage Reduction Scheme, eligible homeowners could shave off up to R1400 from their monthly repayments. Sound too good to be true? Let’s break down how it works, who qualifies, and how you can apply.

Scheme

The 2025 Mortgage Reduction Scheme is a government-backed initiative aimed at making homeownership more affordable during tough economic times. With inflation and rising interest rates eating into household income, this program provides real, practical relief by:

Lowering your bond’s interest rate
Waiving admin or processing fees
Offering bonus cashbacks or discounts
Maintaining your current loan term (in most cases)

And the best part? It’s designed for working-class and middle-income homeowners who need help the most.

Qualify

So, who actually gets access to these benefits? Here’s a look at the general requirements most lenders will expect:

Bond value between R350,000 and R1.5 million
First-time buyer (bought property after 2018)
Monthly household income under R25,000
12-month clean repayment history
No bond restructuring or refinancing in the past 18 months
Participation in FLISP or other government housing programs
Interest rate above the current prime lending rate

Here’s how the banks stack up:

Provider	Income Limit	Property Value	Rate Drop	Fees Waived	Bonus Benefit
ABSA	R23,000	R400K – R1.2M	Up to -1.5%	Yes	R750 bonus
FNB	R25,000	R350K – R1.5M	Up to -2.0%	Yes	R1000 cashback
Nedbank	R22,500	R450K – R1.3M	Up to -1.7%	Yes	None
Standard Bank	R24,000	R400K – R1.4M	Up to -1.8%	Yes	R500 discount
SA Home Loans	R21,000	R300K – R1.2M	Up to -1.9%	Yes	R1200 voucher
Capitec (via SAHL)	R20,000	R350K – R1.1M	Up to -1.6%	Yes	Free assessment
FLISP (Gov.)	R15,000	R250K – R950K	Subsidy-based	Yes	Fast-track access

Savings

What’s the actual bottom line? Take a look at these sample figures to see what you might save each month:

Loan Amount	Original Rate	Adjusted Rate	Old Installment	New Installment	Monthly Savings
R500,000	11.75%	9.50%	R5,534	R4,732	R802
R750,000	12.00%	9.25%	R8,916	R7,610	R1,306
R1,000,000	11.50%	9.00%	R11,637	R10,123	R1,514
R1,250,000	12.25%	9.50%	R14,558	R12,563	R1,995
R1,500,000	12.50%	9.25%	R17,388	R15,028	R2,360

All figures are based on a standard 20-year home loan. Individual results may vary.

Apply

Applying is pretty straightforward. Here’s what to do:

Visit your bank’s mortgage portal or nearest branch
Submit a 2025 Mortgage Relief Adjustment request
Upload documents like your ID, bond statements, and payslips
Undergo a credit and affordability check
Wait for confirmation (within 14 working days)

Some banks even offer online tools to pre-check if you qualify—super handy!

Documents

You’ll need:

SA ID or Smart ID Card
Latest 3 months’ payslips
Latest 6 months’ bond statement
Proof of residence
SARS tax number
FLISP certificate (if applicable)

Keep everything up to date to speed up the process.

Risks

Like with any financial offer, there are a few things to watch out for:

Not everyone qualifies—clean repayment history is essential
Your interest drop could extend your term slightly
Future refinancing options may be limited under the scheme
Limited slots—some banks use a first-come, first-served model

Bottom line? It’s a solid option if you meet the criteria, but check all the fine print and run the numbers before applying. This scheme could be the lifeline your wallet’s been waiting for—so don’t miss out.