Buying your first home.

Help with getting onto the NZ property ladder.

Getting started.

Buying your first home is one of life’s biggest moments and a milestone you’ll never forget. The difference between gliding easily along the pathway and hitting a bumpy road is preparation guided by good information.

Need help with your first-ever home loan?

Get in touch with a mortgage adviser who’ll make everything easier for you.

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First home buyer FAQs

When you’re moving towards owning your first home, questions pop up all the time. Usually these are about getting your deposit together, finding a home loan provider and ensuring settlement happens without hitches. Here’s an assortment of the questions we hear most often, along with answers you can trust.

If you have a deposit that’s more than 5% of the home’s purchase price, you might be eligible for a First Home Loan backed by Kāinga Ora. Read our article about buying a first home with a 5% deposit. Another option is to see if you qualify for the First Home Grant, which could bump up your deposit. See our guide about first home loan grants. If neither of these options works for you, some lenders offer low deposit home loans.

Using the ‘bank of mum and dad’ has become a solid trend in recent years. There are several ways your family can help you out. They can offer money towards the home deposit; use their property as equity to support your loan; lend you money to buy your home; offset your loan with their bank accounts; or agree to be a parent guarantor. Read more about these options.

It’s always better to start as soon as you can, because lenders’ turnaround times vary. If the lender is low on staff or experiencing high demand, don’t expect quick service. Pre-approval can sometimes be given in just a few days, but it pays to allow extra time for full approval. If you’re working with a mortgage adviser, they will be able to indicate how long you might have to wait.

If you have a deposit that’s more than 5% of the home’s purchase price, you might be eligible for a First Home Loan backed by Kāinga Ora. Read our article about buying a first home with a 5% deposit. Another option is to see if you qualify for the First Home Grant, which could bump up your deposit. See our guide about first home loan grants. If neither of these options works for you, some lenders offer low deposit home loans.

Using the ‘bank of mum and dad’ has become a solid trend in recent years. There are several ways your family can help you out. They can offer money towards the home deposit; use their property as equity to support your loan; lend you money to buy your home; offset your loan with their bank accounts; or agree to be a parent guarantor. Read more about these options.

It’s always better to start as soon as you can, because lenders’ turnaround times vary. If the lender is low on staff or experiencing high demand, don’t expect quick service. Pre-approval can sometimes be given in just a few days, but it pays to allow extra time for full approval. If you’re working with a mortgage adviser, they will be able to indicate how long you might have to wait.

The answer to this question changes like the wind. If you want the best deal going, we recommend you work with a mortgage adviser who knows the current lending market inside out. Connect to an expert home loan adviser.

Getting an interest-only loan for your first home could be a challenge, but there are lenders out there who might consider it. The term for an interest-only loan is usually a year or two, but it can be up to five. At the end of the term you have to repay the entire original amount of the loan. In most cases this is achieved by switching to an ordinary principal-plus-interest loan. Read our article about interest-only loans.

Banks and finance companies are very careful about who they lend money to, because they definitely don’t want you to default on your mortgage payments – it’s not good for you and it’s not good for them. If your circumstances change and your income takes a big hit, your lender may be able to restructure your loan to make it more affordable. Don’t panic! Just talk to your lender or mortgage adviser.

The answer to this question changes like the wind. If you want the best deal going, we recommend you work with a mortgage adviser who knows the current lending market inside out. Connect to an expert home loan adviser.

Getting an interest-only loan for your first home could be a challenge, but there are lenders out there who might consider it. The term for an interest-only loan is usually a year or two, but it can be up to five. At the end of the term you have to repay the entire original amount of the loan. In most cases this is achieved by switching to an ordinary principal-plus-interest loan. Read our article about interest-only loans.

Banks and finance companies are very careful about who they lend money to, because they definitely don’t want you to default on your mortgage payments – it’s not good for you and it’s not good for them. If your circumstances change and your income takes a big hit, your lender may be able to restructure your loan to make it more affordable. Don’t panic! Just talk to your lender or mortgage adviser.

Essential reading for first home buyers.

Buying a first property is easier and less stressful when you do your homework before you hit the market. We’ve covered all the basics here, to give you a total understanding of the way forward.

Check out the latest mortgage rates.

Keeping an eye on interest rates helps you to recognise a good deal. It’s all part of the education process that ensures you’ll be a successful first home buyer. The rates have been grouped into different lender types. You can also sort the entire list of options by rate.

Calculators to get you there.

During the planning stage of buying your first home, using calculators is an almost-daily activity. Our calculators help you to plan a budget, work out how much you might be able to borrow, and put a ballpark number on your monthly or fortnightly home loan repayments.

Budgeting is the best way to steer your finances, stay in control and prepare for managing your mortgage.
Work out how much you could borrow based on some quick questions about your current financial situation
Get an estimate of what your repayments could be, based on your mortgage amount, term and interest rate.

Visit the Learning Centre.

Visit our Learning Centre for carefully-researched articles that are relevant to your situation. Our resources are organised into categories – first home buyer, next home buyer, property investing, refinancing, building and general news. Authors include independent economist Tony Alexander and experts from the NZ home loan industry.
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