Kāinga Ora First Home Partner Scheme explained

Kāinga Ora First Home Partner is a shared home ownership scheme to help first homebuyers who don’t have a big enough deposit to qualify for a mortgage, or can’t get a big enough mortgage to buy a home. 

If you’re eligible, Kāinga Ora will buy up to 25% or $200,000 of your chosen home (whichever is larger), then you’ll buy them out when you’re ready. You’ll still need to get a loan from a participating bank to buy the home, so you’ll need to go through the usual application process. 

Read more about help available for first home buyers. 

• Be over 18 years old.

• Be an NZ Citizen, permanent resident, or resident visa holder ordinarily residing in NZ (or be applying with someone who is a citizen).

• Have a household income before tax of $130,000 or less.  

• Have a good credit rating. 

• Be a first home buyer.

• Be buying a brand new home. 

• Contribute at least 5% towards the deposit. 

• Be able to meet lending criteria of the lender you’re borrowing from. 

• Live in the home during the shared home ownership agreement (you can’t rent it out). 

• Try to purchase the home in full within 15 years. 

If you fit the eligibility criteria above then you can apply by phoning Kāinga Ora on 0508 935 26. At the time of writing (12/02/2025) the scheme is fully subscribed and no new applications are being processed, but it’s worth enquiring and checking back regularly. 

Kāinga Ora don’t just give you money for your first home and leave you be. They’ll help you to purchase their share of the home and achieve other goals with their Goals Management Programme. 

They’ll help you to buy their share back within the first 15 years of ownership, help you maintain the home and support you to live in the home while you own it. You can buy the portion owned by Kāinga Ora as:

• A single lump sum.

• Or in smaller payments on a regular basis or when you can afford it. 

The share that Kāinga Ora owns will appreciate at the market rate. That means if they own a $100,000 share and the value of the property goes up by 10%, you’ll have to pay $110,000. The value of the property at the time you buy it will be determined by an online property valuation supplied by Kāinga Ora, or you can pay extra for a detailed valuation. 

As a part of the First Home Partner Scheme you’ll need to fulfill a few obligations:

• Do your best to buy the full share of the home within 15 years. If you can’t do this you must purchase the full amount no later than 25 years after settlement date. 

• If you can’t purchase the home within 15 years you’ll be required to pay $2,250 (plus GST) to cover reasonable costs incurred by Kāinga Ora. This annual service fee may increase up to once a year. 

• Share financial information with Kāinga Ora at annual meetings, including income and expenses, and let them know if your circumstances change.

• Seek prior approval from Kāinga Ora if you plan to renovate or change your home in any way. 

• Let Kāinga Ora know if you borrow any more money during the co-ownership phase. Getting more debt may impact your ability to repay their share. 

What’s more, you’re free to sell your home as soon as you become a full owner, but you must consult Kāinga Ora if you wish to do so before that stage. If the home is sold while Kāinga Ora are still a co-owner they will receive a percentage of the sale proceeds equal to their ownership percentage (i.e. if they own 10% of a $500,000 home they’ll get $50,000).