What Support Is Available For First Home Buyers In New Zealand?

Unity is a participating Kāinga Ora First Home Loan lender, committed to helping more Kiwis purchase their first home.

Posted August 2023 by Unity

First Home Buyer Couple

It’s no secret that house prices have soared in recent years and even though we are in an uncertain housing market, it is still increasingly challenging to afford a home in New Zealand. That’s why we’re working with Kāinga Ora - Homes and Communities to give you a helping hand.

Kāinga Ora administers a range of home ownership products to help individuals and whānau purchase their first home, including First Home Loan – allowing home deposits as low as 5%!

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How does the First Home Loan allow 5% deposits?

Most lenders ask for a 20% deposit before offering a home loan, which is unreachable for many Kiwis. Unity is proudly working with Kāinga Ora to offer First Home Loans from as little as 5% deposit. Under this scheme, home loans are issued by us and insured by Kāinga Ora.

Are you eligible for a First Home Loan?

To be eligible for a First Home Loan with Unity, here are some of the criteria (subject to change).

  • Be at least 18 years of age
  • Be a New Zealand Citizen, Permanent Resident Visa holder, or Resident Visa holder who is ‘ordinarily a resident in New Zealand’
  • Be a first-home buyer, or a previous homeowner in a similar financial position to a first-home buyer
  • Have a before-tax income from the last 12 months of:
    • $95,000 or less for an individual buyer without dependants; or
    • $150,000 or less for an individual buyer with one or more dependants; or
    • $150,000 or less (combined) for two or more buyers, regardless of the number of dependents
    • Have a minimum deposit that is at least 5% of the purchase price of the home you are interested in buying (inclusive of all savings, grants, first-home withdrawals, and gifts)
    • Be purchasing a home for you to live in as your primary place of residence
    • Not own any other property or land, this does not include ownership of Māori land
    • Be purchasing a property of less than 1 hectare
    • Pay a 0.5% Lender’s Mortgage Insurance premium and an approval fee

For more information on Unity First Home loans, supported by Kāinga Ora - Homes and Communities, click here.  

First Home Loan, supported by Kāinga Ora – Homes and Communities. Special eligibility and lending criteria apply. T&Cs, a $350 approval fee + a one-off lenders mortgage insurance premium of 0.5% of total amount borrowed will apply. View rates, fees and T&Cs at unitymoney.co.nz.

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The article published on this page is not financial advice and should not be relied upon as such. The opinions published in this article is not those of Unity Credit Union.