In August, we wrote about how new Loan to Value ratios (LVRs) will make it more challenging for Kiwis to secure loans for buying residential properties. If you’re one of the people affected by the new LVR, you may be looking for other ways to achieve your homeownership goals. The KiwiSaver HomeStart Grant is one such option available to those looking to buy their first home and certain second-time homebuyers. Recent changes to HomeStart eligibility criteria means that these grants are now available to a larger group of Kiwis – read on to find out if you qualify for up to $20,000 in free funds from Housing New Zealand.
The HomeStart grant is an initiative created by the Government to help first homebuyers purchase a home. As housing prices continue to soar, many people are finding it harder than ever to find an appropriate home for their family. The KiwiSaver HomeStart grant entitles prospective homeowners to free funds of up to $20,000. The grant, which is administered by Housing New Zealand, does not need to be repaid, making it a very appealing source of funds.
The grant amount varies based on the amount of time you have been a KiwiSaver and the type of home you are planning to purchase. The breakdown is as follows:
Not everyone is eligible for the grant – there are strict criteria in place to ensure that the grant is awarded fairly. The basic eligibility guidelines include:
If you meet the criteria listed above, you can apply for the KiwiSaver HomeStart grant. If you don’t meet all of the criteria or are unsure if you are eligible, we encourage you to seek advice from a solicitor on the matter. This is an important grant that you should try to take advantage of!
You can get pre-approval or start your application on the Housing New Zealand website. In addition to the completed application, you will be asked to provide the following details:
We hope you’ll take advantage of the KiwiSaver HomeStart grant! We have included a summary of the resources you may need below – you are also welcome to contact us with any questions.