Kainga Ora First Home Grant

Written By Andrew Palliser

Notice: This scheme is no longer active as of May 2024


However, the Kainga Ora First Home Loan Scheme is active.

Disclaimer: The below guide is general in nature and do seek individual financial advice to see how this applies to your situation. Our experienced advisers are on hand to help at no cost to you (T’s and C’s apply)

What is the First Home Grant?

This is a grant, so free extra money from the government to go towards the deposit on your home. If you are eligible it makes sense to claim it but there are some requirements around it.

When purchasing an existing property, you can get up to $5,000 towards your deposit

When purchasing a new property or buying land and building, you can get up to $10,000 towards your deposit.

I’m getting a loan through the Kainga Ora First Home Loan Scheme. Can I also get the grant?

Yes, if eligible you can get the grant and it can go towards your deposit with the First Home Loan Scheme.

Who is eligible?

  • Anyone who has contributed to their Kiwisaver for more than 3 years

  • Anyone over 18

  • For use with Owner Occupied property only - no rentals

  • Anyone who has not owned property in New Zealand before (Maori land is exempt) or is classed as a second chance buyer.

  • Any individual with no children that earns less than $95,000 per year as per their IRD Summary for the last 12 months.

  • Any individual with children or a couple that earns less than $150,000 per year as per their IRD Summaries for the last 12 months.

House Price Caps

House price caps show the maximum amount that a buyer is allowed to pay and still get the grant. You can go over this amount in your purchase, but you will no longer be eligible for the grant.

For example, the house price cap for an existing house in the Wellington Region currently sits at $750,000 (Circa Dec 2023, subject to change). A house bought at $720,000 would meet the criteria and a grant would apply but a house bought for $780,000 would not meet the criteria.

What are the potential downsides of accessing this grant?

None that we know of!

Andrew Palliser

Hi, I’m Andy Palliser, your experienced NZ mortgage adviser for first home buying, refinancing, and property investment.

I work with over 20 lenders to cut through the banking jargon and secure the best possible deal for your unique situation. Best of all, my advice and assistance is usually completely free to you.

If you want a hand getting your approval sorted without the stress, let's chat. Get in touch with me here or on 028 8517 4720.

https://www.homeloanfactory.co.nz/andrew-palliser-mortgage-adviser-home-loan-factory
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