South African fintech startup Fin announced that it has signed a First Home Finance Subsidy Memorandum of Understanding with the National Housing Finance Corporation (NHFC).
The MOU will see Fin become the first non-bank intermediary to facilitate the disbursement of First Home Finance Subsidies linked to incremental housing loans in South Africa.
Through Fin Home Loans, the startup aims to give low to middle-income Fin customers access to affordable finance for building materials. Supported projects will range from new builds and renovations to kitchen fittings or extra room creation, adding a work-from-home space, solar & backup systems, and more.
Speaking on the new partnership, Mark Seymour, the founder of Fin Home Loans said, “When we integrated Thuthukani into Fin earlier this year, I looked forward to scaling the business and bringing our offering to many more people. This partnership with the NHFC confirms that this was the right move and is the first of many as we strive to better serve our customers and partners.”
Fin’s partner-first embedded credit strategy will enable its partners to use Fin’s tools and services to provide credit to their customers, allowing Fin to partner with corporate employers in South Africa and assist them in housing their low to middle-income employees through Fin’s payroll credit solutions.
“The NHFC is happy to partner with Fin as the first non-bank intermediary to facilitate NHFC First Home Finance Subsidies linked to non-mortgage products. We are impressed with what they’ve accomplished thus far as an NHFC-approved lender, and through this partnership, we are excited to see what more they can do to help South Africans build their dream homes with the support of the First Home Finance Subsidy,” said Azola Mayekiso, CEO of the National Housing Finance Corporation.
In March, Fin announced its acquisition of Thuthukani, a Pretoria-based fintech startup as part of its expansion efforts.
Through the acquisition, Thuthukani’s incremental housing finance offering was renamed Fin Home Loans and integrated into Fin’s South African portfolio with a mandate to give middle to lower-income Fin customers access to affordable finance.
