First Home Partner
First Home Partner can help bridge the gap if your deposit and home loan aren’t quite enough to buy a new home.
First Home Partner is a shared ownership scheme to help aspiring first-home buyers. If your deposit and home loan aren’t quite enough to buy a home that meets your needs, you may be eligible to purchase a home together with Kāinga Ora. Applications are assessed on a case-by-case basis, and subject to demand and available funding.
Steps to home ownership with First Home Partner
Learn about the key steps of the First Home Partner journey from application to homeownership in 'Steps to Home Ownership with First Home Partner [PDF, 456 KB].' For more details, expand the tabs below.
You need to meet the lending requirements of a participating bank to receive a home loan and be able to contribute a minimum of 5% of the purchase price of the home you are interested in buying. The more you have available to contribute, the better.
To be eligible for First Home Partner, you must:
- be over 18 years old
- be a New Zealand citizen, permanent resident, or a resident visa holder who is “ordinarily resident in New Zealand”; OR be applying with someone who meets the citizenship or residency requirements, and you are married to or in a civil union or de facto partnership with that person
- have a total household income before tax of no more than $150,000
- have a good credit rating (subject to a credit report)
- be a first home buyer
- not previously received shared ownership support from Kāinga Ora
You must be buying the home for you to live in and commit to living there as your primary place of residence for at least three years from your settlement date. See what homes are eligible for First Home Partner in step 4, 'Finding and buying a home', below.
Different income criteria may apply if you are a multi-generational household, or a whānau of at least six people who normally live together. Contact us on 0508 935 266 or firsthome.enquiries@kaingaora.govt.nz to discuss your household circumstances.
Deposit requirements
You must provide evidence that you have a minimum contribution of 5% toward the purchase price of the home you want to buy. This can include money:
- that you have saved in the bank
- from your KiwiSaver first-home withdrawal
- from a First Home Grant approval
- gifted to you by a family member
If you are using gifted money, you will need to supply a completed gift declaration.
First Home Partner gifting declaration [PDF, 26 KB]
The more you have to contribute toward the purchase of the home, the better, as this will help set you up closer to full home ownership.
Bank lending criteria
In addition to meeting the Kāinga Ora eligibility criteria for First Home Partner, you will also need to satisfy the lending criteria of a participating bank in order for them to provide you with a home loan.
All banks and lenders have slightly different lending criteria, but they will include your financial ability to repay the loan, your financial circumstances, your credit history and the way you’ve conducted your bank accounts in the past.
View our participating banks in step 3, 'Getting home loan pre-approval from a bank', below.
If you’ve previously owned a home
If you have previously owned a home in New Zealand or overseas, but no longer do, you may be eligible for First Home Partner. You will need to meet the standard eligibility criteria. In addition, you must:
- not currently own a home in New Zealand or overseas
- not have previously received financial support from First Home Partner
- not have realisable assets worth more than 20% of the house price caps for homes in the area you are buying in.
Realisable assets are belongings that you could sell to help buy a house, including:
- money in bank accounts (including fixed and term deposits)
- shares, stocks and bonds
- investments in banks or financial institutions
- building society shares
- boats or caravans worth over $5,000
- other vehicles (such as classic motorbikes or cars that aren't your usual mode of transport)
- other individual assets valued over $5,000
- deposit funds paid to real estate agent.
KiwiSaver funds are not considered realisable assets.
After you have applied for First Home Partner
You will receive an automated email acknowledging your application. We aim to assess all applications within five working days – if we need more information from you, we will contact you within that time to request it.
If your application is successful
If your application for First Home Partner eligibility is successful, we will get in touch to discuss what your responsibilities will be as a shared owner, and provide you with an Eligibility Confirmation Letter and Commitment Agreement.
Once confirmed, your eligibility will remain valid for six months.
Eligibility confirmation letter
This letter confirms that you meet the Kāinga Ora eligibility criteria for First Home Partner and provides an estimated amount that Kāinga Ora will contribute toward a home purchase.
This letter may be requested by a participating bank when you are arranging your home loan.
Commitment Agreement
The Commitment Agreement outlines your commitments and responsibilities involved in shared ownership, and governs the relationship between you and Kāinga Ora before the purchase of a home. You will need to sign and return the Commitment Agreement to Kāinga Ora before you can make an offer on a home.
Existing Property Statutory Declaration
The Existing Property Statutory Declaration acts as a guide for purchasing existing property with the assistance of First Home Partner. It outlines information required to help us understand the condition of the property. This document must be completed and witnessed along with your solicitor.
If your application is not successful
If you do not meet the Kāinga Ora eligibility criteria, we will email you to let you know. You may be able to reapply in the future if your circumstances change and you meet the criteria.
If your circumstances change
If your personal circumstances change after you have applied for First Home Partner (e.g. a change in employment or income), contact our team to see how this may affect your eligibility.
Whilst Kāinga Ora sets the eligibility criteria for First Home partner, participating banks have their own lending criteria that determines their lending decisions.
In addition to meeting the Kāinga Ora eligibility for First Home Partner, you will also need to satisfy the lending criteria of a participating bank in order for them to provide you with a home loan. Having a pre-approved home loan lets you understand your potential buying power and the amount you may be able to borrow up to. This will help:
- give you a price range you can consider for purchasing a home
- show sellers and real estate agents that you’re serious about making a home purchase
- speed up the process for getting full loan approval when you’ve found a home you want to buy
All banks and lenders have slightly different lending criteria, but information they will ask for can include:
- your Kāinga Ora First Home Partner eligibility confirmation letter
- your employment details
- your annual income and value of assets you own
- the amount you can contibute to a deposit
- your current debt, liabilities and household expenses (e.g. credit card, hire purchase, etc.)
- details of the type of home you're looking to purchase.
A home loan pre-approval will typically expire after a set period (e.g., three months). If your financial situation changes you should speak with your chosen bank to update your circumstances with a view to having your pre-approval reissued.
Participating banks
www.westpac.co.nz(external link)
Call Free: 0800 177 277
www.bnz.co.nz(external link)
Call Free: 0800 275 269
www.kiwibank.co.nz(external link)
Call Free: 0800 000 654
Contact us(external link)
www.sbsbank.co.nz(external link)
Call Free: 0800 727 2265
Once you understand your budget and how much you may be able to borrow to purchase a new home, it’s time to find the right home that meets your needs.
Understanding your budget
Creating a budget will help you understand the type, size and location of the new home you can afford, set savings goals, understand your living expenses and give you an idea of how much you need to borrow. You’ll need to know:
- Your household income and living expenses
- How much you can contribute to the deposit
- What home loan repayments you can afford
Kāinga Ora will confirm exactly how much we will contribute towards purchasing a home with you once you have received and shared your pre-approved home loan from a participating bank with us.
Homes eligible for First Home Partner
Homes eligible for First Home Partner must be:
- a ‘brand new’ build - this means the home is a new build that has not been previously occupied (other than by the developer or builder), and has received a Code Compliance Certificate within the previous 12 months; or
-
purchased 'off the plan' - this means that you are purchasing a new home before construction is complete. The house and land must be purchased together on a single Sale and Purchase Agreement. First Home Partner does not support scheduler payments or construction loans
- An existing home with minimal house maintenance under $5,000.00, to be determined by an independent valuation and property inspection report (valuer must be registered/approved by lender)
- habitable from the date of settlement or from the relevant completion date once the Code Compliance Certificate/title has been issued
- assessed in accordance with the bank’s own credit standards
You must also be buying the home for you to live in and commit to living there as your primary place of residence for at least three years from your settlement date. If your personal circumstances change that require you to move or sell your home within this three-year period, then you will need to discuss this with Kāinga Ora.
As part of your application, we will assess your circumstances and areas you are interested in buying, and provide guidance to help you find a suitable home for the needs of your household. Once you have identified an eligible property that you can afford, you will need to contact us to confirm the property satisfies the conditions outlined in your Commitment Agreement and begin the process of co-purchasing the home.
Buying a home
If the home you are interested in purchasing satisfies the conditions in your Commitment Agreement and the Property Statutory Declaration, we may then provide you with an Approval Letter for you to give to your chosen participating bank, and a Shared Ownership Agreement that governs the relationship with Kāinga Ora for the period of shared ownership.
You will also be provided with a Sale and Purchase Agreement by the seller of the home.
Approval Letter
The Approval Letter confirms that the home you are interested in purchasing satisfies the conditions of co-ownership with Kāinga Ora set out in your Commitment Agreement, and the final equity amount that we could potentially contribute towards purchasing the home with you. Your chosen bank will request this as part of finalizing your home loan.
Shared Ownership Agreement
The Shared Ownership Agreement is an agreement between you and Kāinga Ora, and is a mandatory part of purchasing a home with First Home Partner. It outlines the details of how we will share ownership of the home and includes:
- the rights and responsibilities of both you, as the majority homeowner, and Kāinga Ora as a tenant in common co-owner
- your obligation to do your best to buy the share in the home owned by Kāinga Ora within 15 years of your settlement date
- your responsibilities to upkeep and maintain the home
- requirements to seek prior approval from Kāinga Ora for any improvements or renovations to the home
- the process for obtaining valuations, selling the property, and responsibility for any costs incurred
- when the agreement and relationship with Kāinga Ora will end.
Sale and Purchase Agreement
A Sale and Purchase Agreement is a contract between the buyer and seller of a home. It outlines what will happen, and when, and sets out all the agreed terms and conditions of purchase. You will need to provide copy of your unsigned Sale and Purchase Agreement with Kāinga Ora clauses included (Requirement for Sale Purchase Agreement – Checklist) as part of the Commitment Agreement. Along with a copy of the specifications and plans for the property or Code of Compliance Certificate, if newly built. Kāinga Ora will assess the property and sign the Sale and Purchase Agreement as co-purchaser and return these to your Solicitor.
You will need to provide copies of these signed documents back to us at least 10 working days before your date of settlement. If we do not receive the signed documents within this timeframe, it may result in our share of equity being delayed and not paid out in time for settlement.
We want you to completely own your home as soon as you are financially able to do so within the first 15 years of ownership. Kāinga Ora will support you on this journey with a Goals Management Programme once you are living in your new home.
Goals Management Programme
The Goals Management Programme is available to help you stay on track with your goals toward home ownership. It involves annual meetings at your home with a Kāinga Ora Relationship Manager, who will work with and help you achieve the goals of:
- becoming a full homeowner (and doing your best to achieve this within 15 years)
- maintaining the home in a similar condition to when it was purchased
- you continuing to live at the home during the period of shared ownership.
You will need to provide us with information about the current and future financial circumstances of your household. This can include your current:
- household income
- savings
- expenses or other loan payments.
If you have not bought the share in your home owned by Kāinga Ora within the first 15 years of ownership, an annual administration fee from year 15 to cover reasonable costs incurred by Kāinga Ora will be charged.
Buying the share owned by Kāinga Ora
You can choose to purchase the share owned by Kāinga Ora as:
- a single lump-sum payment; or
- in smaller individual payments that each meet the minimum purchase amount (e.g. $1,000).
The amount required for your payment is determined by the value of the home at the time. This means that, if the value of the property has increased 10% from when you originally purchased it, the share of the home Kāinga Ora owns will cost 10% more to purchase.
Once you have fully purchased the share owned by Kāinga Ora, you have become a full homeowner.
Selling the home
First Home Partner is designed to help you become full homeowners, but during the period of shared ownership you may wish or need to sell your home due to:
- a change in your personal circumstances (e.g. a change in employment)
- a change in your financial circumstances
- no longer being able to purchase the share owned by Kāinga Ora.
Your Kāinga Ora Relationship Manager will be able to talk you through your available options.
If the home is sold when Kāinga Ora is still a shared owner, the sale proceeds will be split proportionate to the share held by each party. For example, if Kāinga Ora still owns 10% of the property and it sells for $800,000, we are entitled to receive $80,000 from the sale.
Still deciding if First Home Partner is for you?
Expand the tabs below for more information or, if you can’t find what you’re looking for, give the team a call between 9am – 5pm, Monday to Friday on 0508 935 266.
What is Shared Ownership?
Shared ownership means that you initially share ownership of the home with a third party who purchases the home with you (in this case Kāinga Ora). You are the majority homeowner and occupier, but we will own a share in the home, that you will buy out over time.
The make-up of shared ownership will be determined by several factors, including:
- How much of a deposit you have
- How much a participating lender is willing to lend you
- How much contribution Kāinga Ora will make towards purchasing the home with you.
For example, you may have saved 10% of the purchase price of a home and a participating bank is willing to lend you 75%. Kāinga Ora then contributes 15% to purchase the home with you in return for a 15% share of ownership in the home.
How much equity can Kāinga Ora contribute?
Applicants for First Home Partner will be assessed on a case-by-case basis. The maximum contribution Kāinga Ora will make towards a home purchase is 25% or $200,000 – whichever is lower.
You will need to meet the lending requirements of a participating bank to receive a home loan and be able to contribute a minimum of 5% of the purchase price of the home you are interested in buying.
How is buying a home with First Home Partner different?
Shared ownership won’t feel very different from full home ownership from day-to- day. You are the majority homeowner, and Kāinga Ora will not use or occupy your home. However, there are some important differences you should consider
- you will need to meet the First Home Partner eligibility criteria
- Kāinga Ora will share ownership of the home with you as co-owner on the title
- the shared ownership relationship between you and Kāinga Ora is governed by a Shared Ownership Agreement
- you commit to living in the home as your primary place of residence for at least three years from settlement
- you meet annually with a Kāinga Ora Relationship Manager to review the financial circumstances of your household and work towards the goal of achieving full home ownership
- you will need to do your best to purchase the share of the home owned by Kāinga Ora within the first 15 years of ownership and must have purchased the share in full by the 25th anniversary from the date of settlement on the home
- you will need to seek permission from Kāinga Ora before making improvements or renovations, or if you want to sell your home.
Below you’ll find some of the common questions about First Home Partner. These FAQs are intended to be helpful, but they are not a complete discussion and should not be substituted for legal advice.
If you cannot find the answer you’re looking for, the team is available to help 9am – 5pm, Monday to Friday.
How much equity can Kāinga Ora offer?
Each applicant for First Home Partner is assessed on a case by case basis. The maximum contribution Kāinga Ora will make towards a home purchase is 25% or $200,000 – whichever is lower.
Can I buy any home with First Home Partner?
Homes eligible for First Home Partner must be:
- a ‘brand new’ build - this means the home is a new build that has not been previously occupied (other than by the developer or builder), and has received a Code Compliance Certificate within the previous 12 months; or
- purchased 'off the plan' - this means that you are purchasing a new home before construction is complete. The house and land must be purchased together on a single Sale and Purchase Agreement. First Home Partner does not support scheduler payments or construction loans
- an existing home with minimal house maintenance under $5,000.00,
- habitable from the date of settlement or from the relevant completion date once the Code Compliance Certificate/title has been issued
- assessed in accordance with the bank’s own credit standards
Any purchase of a home through the First Home Partner scheme is subject to Kāinga Ora assessment, and any due diligence conditions prior to purchase. This step is to confirm the property meets the First Home Partner criteria, and to ensure it passes some basic quality tests.
Can I use First Home Partner to purchase land to build a house on?
No. First Home Partner is designed to support the purchase of homes not land.
Can I purchase an existing home at auction with First Home Partner?
Due to the practicality of meeting legal obligations, purchase by auction is currently not supported by First Home Partner.
I own land with no home on it, am I still eligible for First Home Partner?
No, you will not be eligible for First Home Partner if you currently own or have an interest in land, even if there is no home currently on it.
Are there house price caps?
No. The value of the property you purchase with Kāinga Ora will be determined by your deposit, the first home partner contribution, and the amount a bank is willing to lend you
Is there a minimum income requirement to purchase a home?
There is no minimum income required to purchase a home, but your total household income will need to be enough to satisfy Kāinga Ora that you will be able to buy our share within the first 15 years of ownership and the lending requirements of one of the participating banks in order to service a home loan.
How much of a deposit will I need?
You will need to contribute a minimum of 5% of the purchase price of the home you are looking to buy. However, it is important you contribute as much as you can, as the more you contribute, the closer you will be to full home ownership.
How much will I be able to borrow?
You will need to meet with one of the participating banks to discuss your individual circumstances and receive guidance on how much you may be able to borrow to purchase a home. Banks will have their own lending criteria they will assess you on.
Can I use my KiwiSaver in addition to First Home Partner to help purchase a home?
If you are a first home buyer and have been a contributing member of a KiwiSaver fund for at least three years, you may be able to withdraw part or all your savings to put toward the purchase of a home.
Find more information about Kiwisaver first-home withdrawal
I’m eligible for First Home Partner and the First Home Grant, can I use both to purchase a home together?
You may be able to use a First Home Grant and First Home Partner together to purchase a home, provided you have submitted a separate successful application for both.
Check your eligibility for the First Home Grant
I’m eligible for First Home Partner and the First Home Loan, can I use both to purchase a home together?
If you are eligible for First Home Loan, that means you are able to secure a low deposit home loan from a participating bank or lender and should not require the support from First Home Partner.
What happens if I am not approved?
You will receive a letter outlining the outcome of your application, including the reasons your application has not been approved. You can get in touch with us if you need further clarification on the outcome of your application.
How do I purchase the Kāinga Ora share?
You can purchase the share of the home owned by Kāinga Ora either in small increments (no lower than $1,000) or one lump sum. You may choose to do this by using your savings or borrowing from your bank (subject to bank approval). When you purchase the share of the home owned by Kāinga Ora, you do so at the then current market value.
Can I borrow more from a bank to buy the share owned by Kāinga Ora?
Yes, this is an option available to you subject to lending approval from your chosen bank. You will need a letter from Kāinga Ora confirming that the top up is for the purpose of buying some, or all, of the share owned by Kāinga Ora’s before the bank can approve your request.
Why is the valuation of the home by the bank different to the valuation done by Kāinga Ora?
When you apply for lending from a participating bank, the bank will use a valuation from their property data provider, which may differ from the valuation that Kāinga Ora holds.
Can I renovate or make additions to my property?
You will need to seek prior approval from Kāinga Ora if you want to carry out renovations or improvements as long as we remain a co-owner of the home. This includes any identified improvements indicated through the due diligence and deferred maintenance process prior to purchase. Please refer to the renovation process in the Shared Ownership Agreement.
Can I rent out my home?
No. You are expected to live in your home as your primary place of residence, and for at least three years after your settlement date.
Can't find what you're looking for?
The team is available to help 9am - 5pm, Monday to Friday.
- phone us on 0508 935 266
- email us at firsthome.enquiries@kaingaora.govt.nz
First Home Partner is a shared ownership scheme designed to help more New Zealanders into homeownership.
We provide a number of publications that explain how the shared ownership and co-purchasing process works in order to buy a home with First Home Partner, and also provide generic guidance through the home buying process. The purpose of this page is to provide you access to download the relevant brochures and supporting legal documents for First Home Partner.
Steps to Home Ownership with First Home Partner [PDF, 456 KB]
Shared Ownership Agreement example [PDF, 1.5 MB]
Guide to the Shared Ownership Agreement [PDF, 55 KB]
Commitment Agreement [PDF, 503 KB]
Statutory declaration form [PDF, 58 KB]
Existing property statutory declaration form [PDF, 71 KB]
Requirements for SPA Checklist [PDF, 63 KB]
Example - General instructions for solicitors acting in a shared ownership transaction [PDF, 238 KB]
Example - Kāinga Ora Cover Letter to Homeowner's Solicitor [PDF, 588 KB]
Request process for lawyers and solicitors
If you need to request identification information for AML, you can email your enquiry to firsthome.enquiries@kaingaora.govt.nz
Please provide the below information in your request:
- Name
- Contact number
- Contact email
- Company name
- Address
- First Home Partner application number (e.g., FHP-001234)
- Reason for your request
IRD Product Ruling
The Goods and Services Tax treatment of the First Home Partner Scheme is unique and Kāinga Ora have obtained a public Product Ruling from Inland Revenue, which is designed to give certainty to counter parties of the correct GST treatment in two sets of circumstances:
- the initial acquisition - likely to be the sale from a developer to The Home Owner and Kāinga Ora
- the sale of a home in the PHO scheme (while Kāinga Ora still owns shares) on the open market.
View the IRD ruling(external link)
Page updated: 13 November 2023