Buying your first home in New Zealand is a significant financial milestone, and the Government provides two key supports to help first-home buyers get on the property ladder: the First Home Grant and the ability to withdraw KiwiSaver funds. Together, these can provide tens of thousands of dollars towards your deposit. But the eligibility criteria are more specific than many people realise, and the regional property price caps mean the grant is not available for every purchase. In this guide, we explain exactly how the system works in 2026.
What Is the First Home Grant?
The First Home Grant (formerly the KiwiSaver HomeStart Grant) is a Government-funded payment towards the purchase of a first home. The grant amounts are:
- Existing property: NZ$1,000 for each year you have been contributing to KiwiSaver (3 years minimum), up to a maximum of NZ$5,000
- New build: NZ$2,000 for each year of KiwiSaver contributions, up to a maximum of NZ$10,000
If you are buying with a partner and both of you qualify, you can each claim separately. A couple who have both been in KiwiSaver for five or more years could receive up to NZ$10,000 for an existing property or NZ$20,000 for a new build. That is a substantial contribution towards a deposit.
Eligibility Criteria
To qualify for the First Home Grant, you must meet all of the following conditions:
- You must have been contributing to KiwiSaver for at least 3 years
- You must be 18 years or older
- You must be a first-home buyer (you have not previously owned a home or land). There is a limited exception for people in a similar financial position to first-home buyers, assessed on a case-by-case basis.
- Your income must be NZ$95,000 or less per year (before tax) if buying alone, or NZ$150,000 or less combined if buying with one or more other people
- The property price must not exceed the regional house price cap
- You must intend to live in the property for at least 6 months
Regional Price Caps
The First Home Grant has regional property price caps that limit which properties you can claim the grant for. These caps are reviewed periodically and vary significantly:
- Auckland: NZ$875,000 (existing) / NZ$925,000 (new build)
- Wellington: NZ$750,000 (existing) / NZ$800,000 (new build)
- Hamilton, Tauranga, Queenstown: NZ$700,000 (existing) / NZ$750,000 (new build)
- Christchurch, Dunedin: NZ$600,000 (existing) / NZ$650,000 (new build)
- Rest of New Zealand: NZ$500,000 (existing) / NZ$550,000 (new build)
These caps are approximate and subject to change. Check the Kāinga Ora website for the most current figures. In some high-demand areas like central Auckland, these caps may exclude a significant portion of available properties, which is a common frustration for first-home buyers.
KiwiSaver First Home Withdrawal
Separately from the First Home Grant, you can withdraw your KiwiSaver savings to put towards a first home purchase. You can withdraw everything in your KiwiSaver account except:
- NZ$1,000 (which must remain in the account)
- Any Government contributions (member tax credits)
Your own contributions and your employer's contributions (after ESCT) can be withdrawn. If you have been in KiwiSaver for several years and have been contributing regularly, this can amount to a significant sum. For example, someone earning NZ$70,000 contributing 3% with a 3% employer match for 7 years would have accumulated approximately NZ$35,000–NZ$45,000 (including investment returns), most of which would be withdrawable.
Use our KiwiSaver calculator to model how much you could have available for a first home withdrawal.
How to Apply
To apply for the First Home Grant:
- Ensure you meet all eligibility criteria
- Get pre-approval for a home loan from your bank or lender
- Find a property that falls within the regional price caps
- Apply through Kāinga Ora (Housing New Zealand) before settlement
- Provide evidence of your KiwiSaver membership, income, and the property details
For the KiwiSaver withdrawal, apply to your KiwiSaver provider directly. You will need to provide a signed sale and purchase agreement and evidence that you are a first-home buyer. Processing times vary but typically take 10–15 working days, so apply well before your settlement date.
Understanding your overall financial position is crucial when buying a first home. Use our salary calculator to understand your take-home pay, our KiwiSaver calculator to model your savings, and our salary comparison tool if you are weighing up job offers alongside your home-buying plans.