Deposit Sources | Briana McDonagh

KiwiSaver — First Home Withdrawal

Who can use it

Anyone who has been contributing to KiwiSaver for three or more years and has not previously owned property.

How much

You can withdraw your full KiwiSaver balance minus $1,000, which must remain in your account. This includes your own contributions, your employer's contributions, and any government contributions.

What it covers

Your KiwiSaver withdrawal can make up your entire deposit on its own — you do not need additional savings alongside it.

Australian super

If you have transferred superannuation from Australia into your KiwiSaver, those transferred funds cannot be used for a first home withdrawal. Only contributions made within NZ KiwiSaver are eligible.

Get in touch and I can help you find out exactly how much you could access and factor it into your deposit plan.

KiwiSaver — Second Chance Withdrawal

Who can use it

People who have previously owned property but are now in a similar financial position to a first home buyer. This is assessed by Kainga Ora on a case-by-case basis.

Key requirement

You must not have used your KiwiSaver to purchase a property before. If you have already made a KiwiSaver first home withdrawal, you cannot use this scheme.

Asset caps

Unlike the standard first home withdrawal, asset caps apply. Kainga Ora will assess your current assets to determine whether you qualify — this is different from the standard withdrawal.

How to apply

Applications are assessed directly by Kainga Ora. I can help you understand whether you are likely to qualify before you apply.

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Important: This scheme has specific eligibility criteria that vary depending on your personal circumstances. Speak with an adviser before assuming you qualify.

Savings

What counts

Money saved in your own name over time — savings accounts, term deposits, or regular contributions to a savings fund.

Why lenders value it

Savings demonstrate financial discipline and the ability to manage money consistently — which gives lenders confidence in your ability to service a mortgage.

Extra buying costs

There are additional costs involved in buying a house beyond your deposit — such as legal fees, a LIM report, and a building inspection. It is worth having a chat so we can work out how much you need to keep aside rather than putting all of your savings toward the deposit.

Savings can be combined with other deposit sources — for example, your personal savings alongside your KiwiSaver balance.

Gifted Money

What it is

A financial gift from a family member — most commonly parents — to help with your deposit. It does not need to be repaid.

What lenders require

Lenders need to confirm the money is a true gift and not a loan with repayments attached, as repayments would affect your borrowing capacity. They will require either a gift certificate or a deed of acknowledgement.

Gift certificate

I can provide a gift certificate for you to use. This is a straightforward document that confirms the funds are a gift with no expectation of repayment.

Deed of acknowledgement

A lawyer can prepare a deed of acknowledgement, which is a more formal legal document confirming the nature of the funds. Your solicitor can assist with this if required.

If a family member is helping with your deposit, get in touch early so we can make sure the right documentation is in place well before you need it.

Selling Assets

What counts

Proceeds from selling assets you own — including vehicles, shares, cryptocurrency, jewellery, or other valuable items.

Evidence required

Lenders may want to see evidence of the sale. For example, to obtain unconditional finance they will want to see the proceeds of a sold asset — such as a car — sitting in your bank account before they can confirm that money is going toward your deposit.

Funds in your account

Try to complete any asset sales well in advance of making an offer so the funds are clearly visible and traceable in your account.

Unexplained deposits

Avoid large deposits you cannot explain. Lenders will ask about anything unusual, and you need to be able to clearly show where the funds came from.

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Timing matters: Selling an asset close to your purchase date can create complications. Talk to me early so we can plan ahead and make sure the funds are in the right place at the right time.

Equity in an Existing Property

What it is

If you already own a property, the equity in it (the difference between its value and what you owe) may be able to be used as a deposit toward another purchase.

How it works

Your lender assesses the current value of your existing property and your outstanding mortgage. The usable equity is what remains after maintaining the lender's required loan-to-value ratio (LVR).

Owner-occupied

For a property you live in, lenders typically require you to retain at least 20% equity — meaning you can access up to 80% of the property value minus your current mortgage balance.

Investment properties

For investment properties, lenders generally require you to retain at least 30% equity — giving you access to up to 70% of the property value minus your current mortgage balance.

Calculate yours

Use the equity calculator to see how much usable equity you may have available.

Using equity requires your existing lender's approval and may involve restructuring your mortgage. I can walk you through exactly what this looks like for your situation.

Not sure which of these applies to you? Get in touch and I can walk you through your deposit options and work out exactly how close you are to being ready to buy.

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This page is for general information purposes only and does not constitute financial advice. Eligibility for each deposit source depends on your individual circumstances, lender policies, and current Kainga Ora criteria, which may change. Speak with Briana McDonagh for personalised advice.

Where can your deposit come from?