Toi Tupu:
Saving for
a home

Whakaputu pūtea mō te Kāinga

From the last few editions of Tukuna, you’ll already know that the more you commit to saving money, the easier it is to achieve your whāinga.

Buying a kāinga is one of the most exciting and fulfilling experiences a person can go through, but we know it can be stressful too. With ongoing costs attached, the decision requires careful planning and budgeting.

The first step of this process is to become acquainted with the tools and financial assistance available to you, as well as developing an understanding of your flow of income and savings.

Researching your options from the KiwiSaver and Welcome Home Loan schemes will provide you with an overview of how much money you are eligible to claim, the price range you can realistically purchase within and how much you will have to save. 

Loan options

Housing New Zealand

Housing New Zealand’s Welcome Home Loan scheme provides a 10% deposit rate to Kiwis who meet the individual or combined yearly income requirements, alongside other criteria.

Find out more about the Welcome Home Loan scheme here.


Individuals who have contributed to KiwiSaver for at least three years are eligible for the KiwiSaver HomeStart grant. The grant offers between $5,000 and $20,000 depending on the nature of the purchase and whether there is another person you are borrowing with.

Find out more about the the KiwiSaver HomeStart grant here.


What is a mortgage?

Signing up for a mortgage is the most significant ongoing cost that comes with buying a home, and it is an important step in getting on the property ladder that requires a lot of consideration.

A mortgage is a loan, and the property or real estate is used as security for repayment of that loan. The borrower enters into an agreement with the lender, usually a bank, who provides the borrower money upfront to purchase their whare after which the borrower makes payments over a set timespan until he/she pays back the lender in full. Most, if not all, mortgages have interest rates set to the loan so not only are you paying back what you’ve borrowed, you’re paying it back with interest.

With numerous mortgage plans available, it’s important to take the time to research your options and see what will work best for you and your whānau.

With a vast range of interest rates, fees and degrees of flexibility for repayments, it’s smart to enlist the help of a mortgage broker to ensure your plan is financially viable. A realistic mortgage plan that aligns with the income of your household will ensure the repayment process is as smooth and stress free as possible.


Sorted your mortgage - what’s next?

Once you’ve sorted a loan and found a home, there are an array of costs associated with moving in and establishing utilities, and ongoing costs such as insurance and rates. Including these costs in your planning and budgeting will mean you can cover the home buying process from start to finish with as little stress as possible.

Forward-looking and realistic financial planning will make your kāinga buying dream a reality. Don’t be deterred by the magnitude of the task – buying a home is a lifetime achievement and should be celebrated for the dedication it requires.

If you’re thinking of buying your first kāinga, one of the most important steps is getting the right advice. Do your research and seek professional advice before making any decisions. You should also ask your whānau, friends or colleagues who own a whare about their experience as it may help you with vital decisions in purchasing your own kāinga.