First Home Buyers - Kiwisaver Benefits Purchasing a house is not only said to be one of the most stressful experiences in life, but also one of the most expensive purchases many people will make. Our staff aim to make purchasing a property as stress free for our clients as possible. Obtaining sufficient finance is one of the main hurdles faced by people who are considering purchasing a new home. Many home buyers are not aware that they may be entitled to a withdrawal of their KiwiSaver savings and / or a first home deposit subsidy to go towards the purchase of their new home. The extra funds and options available through KiwiSaver may be enough to make home ownership a real possibility for those who are perhaps struggling to obtain sufficient finance. First Home Deposit Subsidy Under the KiwiSaver First Home Deposit Subsidy, an eligible member is entitled to $1,000.00 for every year they have made contributions to their KiwiSaver Scheme to go towards the purchase of their first home. Therefore, if a member has been enrolled in KiwiSaver for five (5) years, then they may be entitled to receive $5,000.00 from Housing New Zealand towards their first home purchase. Eligibility criteria includes: Applicants must have a combined yearly income of $100,000.00 or less (before tax) for one or two buyers, or a combined yearly income of $140,000.00 or less (before tax) for three or more buyers The purchase price for the property must be within the house price caps: Currently $400,000.00 for Auckland City, Wellington City and Queenstown Lakes District and $300,000.00 for all other areas. Applicants must live in the house for a minimum of six months after the purchase. Those who have previously owned property may still be entitled to the first home deposit subsidy if they are assessed as being in the same financial position as a first home buyer. Application forms and pre-approval forms can be found on the Housing New Zealand website at hnzc.co.nz KiwiSaver First Home Withdrawal Members who have been enrolled in a KiwiSaver scheme for a minimum of three years may be entitled to withdraw all or part of their savings (not including government contributions) to put towards purchasing their first home. Those who have previously owned property may still be eligible to withdraw their savings so long as they satisfy the eligibility criteria. In the first instance, members should contact their Kiwisaver scheme provider to apply for a withdrawal of their savings to put towards their purchase. The application forms which will be sent to you by your scheme provider should be forwarded to us as early as possible so that we can arrange for them to be signed in time for settlement. It is important to note that both Housing New Zealand (for the Deposit Subsidy) and the scheme providers (for the KiwiSaver savings withdrawal) have minimum time periods from when they receive the completed application forms to processing the funds. Therefore, members should contact their scheme provider prior to signing the contract to ensure that the contract provides for enough time between satisfaction of the conditions and the settlement day for the funds to be processed. Please contact our Kylie Dawson on [email protected] for advice and assistance in obtaining the KiwiSaver First Home Deposit Subsidy and KiwiSaver First Home Withdrawal.
Posted on: Fri, 07 Jun 2013 00:01:13 +0000
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