First Home Buyers Guide
Saving for a deposit
- Personal savings
- Family Equity loan
- Deposit Bond Loans
Do I need to have a KiwiSaver account?
If you are not current a member - join. After three years you may be able to withdraw your contribution plus your employer's contributions. This can contribute hugely to your deposit. You may also be eligible for the Home Deposit Subsidy of 1,000 per year, up to a maximum of $5,000. So yes, Kiwi Saver is a great help for first home buyers.
You will need to arrange house insurance prior to your settlement day. Having house insurance is a condition of your home loan. It covers you in case something happens to your house such as a fire. It's also a good idea to have contents insurance, to protect your belongings.
There are a number of legal matters associated with purchasing a home, so it's important to involve your solicitor before you make an offer or bid at an auction.
How Much credit limit should I have on my credit cards?
Ensure credit card limits are at the minimum limit required. Even though you may not use your credit card, the limit is likely to be used by lenders for debt servicing assessment purposes.
Can I get my loan approved before I start looking for my first home?
Yes, Pre-approval is a good idea. We can arrange pre-approval for up to 3 months. This will give you confidence when looking for a home with a maximum price that will fit your situation.