South Africa is 19 years into its democracy since the installation of a democratic government in 1994. Whereas, this at first glance resembles political success, it may not prevail without challenges. At the present time, the eradication of informal housing and informal settlements is advanced as the primary purpose of housing policy. This Dissertation studied the challenges to implementation of subsidized housing at Umlazi Towhship (P section) and implications for policy therein. The location was chosen because it is one of the biggest slums clearance locations in EThekwini Municipality. This study is qualitative. The objective of the study was to explore the challenges encountered in the provision of subsidized housing in Umlazi.