What Are the Eligibility Requirements to Withdraw KiwiSaver Funds for a First Home Purchase in New Zealand?

The Main KiwiSaver First-Home Withdrawal Requirements

You generally need to have been a member of KiwiSaver, or an eligible complying superannuation fund, for at least three years. You must be buying your first home or have a qualifying previous-home-owner determination, the property must be in New Zealand, and you must intend to live in it. The withdrawal cannot be used to buy an investment property.

You also cannot have used a KiwiSaver first-home withdrawal before. First-time buyers normally apply through their scheme provider. Previous home owners first need Kāinga Ora to determine whether they are in a similar financial position to a first-home buyer.

How Much of Your KiwiSaver Can You Withdraw?

Eligible members can generally apply to withdraw their own contributions, employer contributions, government contributions and investment earnings. At least $1,000 must remain in the account. Your displayed balance is not necessarily your withdrawable balance, so ask your provider for a written estimate.

Funds transferred from an Australian complying superannuation scheme cannot be withdrawn for a first-home purchase. Your provider can separate the New Zealand-sourced and Australian-sourced portions for you.

Buying Land With KiwiSaver

A first-home withdrawal may be available for land on which you intend to build and live in your first home. The key distinction is timing: KiwiSaver can support the eligible land purchase, but it generally cannot later be withdrawn only to pay construction costs on land you already own, including land received by gift or inheritance.

Buying a Tiny Home With KiwiSaver

Tiny-home purchases do not all fit the rules in the same way. Eligibility can depend on whether land is included, whether the home is permanently fixed, the legal interest being purchased and the scheme provider's requirements. Treat this as a provider-and-solicitor check, not an automatic yes or no.

The Previous-Home-Owner Pathway

Owning property in the past does not automatically rule you out. You may qualify if you no longer own a home, land or a share in property, have not previously received a first-home withdrawal, and Kāinga Ora determines that you are in a similar financial position to a first-home buyer. Kāinga Ora assesses realisable assets as part of that process, so apply early and use its current form and guidance.

Despite the common second chance label, this is not a second KiwiSaver withdrawal. Someone who has already used KiwiSaver for a home purchase is generally not eligible to use the first-home withdrawal again.

Using KiwiSaver for a Conditional Deposit

KiwiSaver can sometimes be used for a deposit before a sale and purchase agreement becomes unconditional. The funds are not paid to you personally: the payment must be handled through the required stakeholder and solicitor-undertaking process. Speak to your solicitor and provider before signing so the deposit date allows enough processing time.

You Must Intend to Live in the Property

The official test is that you intend to live in the property; it cannot be an investment purchase. Providers may ask for declarations or evidence about your intended occupation. There is no single universal six-month rule stated on the main Inland Revenue or Kāinga Ora eligibility pages, so ask your provider about its requirements if tenants, delayed occupation or unusual circumstances are involved.

Buying With Someone Else

Each buyer is assessed separately. One partner may qualify as a first-time buyer while another needs a previous-owner determination or cannot withdraw at all. Build the deposit calculation from each provider's confirmed withdrawable amount, not the combined app balances.

KiwiSaver Is Not the First Home Grant

The First Home Grant ended in May 2024. It was separate from the KiwiSaver first-home withdrawal, which remains available to eligible members. Be cautious with older articles that refer to a KiwiSaver grant or HomeStart grant.

Common Mistakes to Avoid

• Assuming the app balance is fully withdrawable.
• Leaving forms and identity checks until the week of settlement.
• Applying as a standard first-home buyer after previously owning home or land.
• Treating KiwiSaver as cash that can be paid directly to you.
• Signing a land, tiny-home or conditional-deposit agreement before checking provider requirements.

How to Check Your Eligibility Before You Buy

Ask your KiwiSaver provider for its current first-home withdrawal pack and an estimate of the amount available. If you have owned property before, start the Kāinga Ora determination early. Give your solicitor the provider requirements before making an offer, especially if KiwiSaver is needed for the agreement deposit.