Buying your first home is a massive milestone and one that KiwiSaver is specifically designed to help you achieve. If you are planning on using your KiwiSaver funds to help you into your first home, this guide is for you.

Step 1: Eligibility

Firstly, it’s important to determine if you are eligible to withdraw from your KiwiSaver account to contribute to your deposit.

To be eligible you must meet all the following criteria:

• Must have been a KiwiSaver member for three years or more;
• Can’t have made a withdrawal from a KiwiSaver scheme for purchasing a home before;
• Can’t have ever held an estate in land; and
• The property you mean to purchase should be intended to be your main home which you plan to live in for at least six months. Alternatively, the land you mean to purchase should be used to build or relocate a home on, which you also plan to live in for at least six months.

There are some limited exceptions to the above criteria.  For instance, if you are a previous homeowner, Kainga Ora may be able to assess your personal situation and determine if you are in a similar financial position to a first home buyer and grant you an exception.

For full eligibility details and terms can be found at www.kaingaora.govt.nz/home-ownership

Step 2 - Determine how much you can withdraw

Step 3 - Arranging your finance

Your bank or mortgage broker may request a confirmation of your KiwiSaver account balance as part of your financing package.  You can go www.sbswealth.co.nz online to request a confirmation letter from us.  You will be asked some eligibility questions.

Step 4 - Apply to Withdraw Your KiwiSaver Funds

Complete our First Home Withdrawal Application Form ("Withdrawal Form").  This should be supplied to us at least 15 working days before you require the money for settlement.

Applying to withdraw from your KiwiSaver funds requires some documentation.  It is usual for your solicitor to assist you in the compilation of these requirements:

What happens once we receive your application?

The Withdrawal Form will be processed by our team when the correct supporting documents are received.  The approval is strictly regulated by law and can only occur on the receipt of all of the documentation as detailed in the Withdrawal Form.

How long does it take?

We cannot pay out after the settlement date of your home.

Your completed First Home Withdrawal Application form and all supporting documents must be received at least 15 business days before either your deposit payment is due or settlement date. 

Please account for the longer delivery timeframes by NZ Post when sending your application and documents by post.

How else can we help?

Searching for a home loan?  SBS bank offers first home loans, and more.  Find out more here.

Interested in shared ownership? There are a few approved providers that will take an equity stake in a property to allow occupants to own a home and have a smaller mortgage.

• New Zealand Housing Foundation
• Queenstown Lakes Community Housing Trust
• YouOwn