Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Mike Pero and the HomeStart package

POSITIVE OUTLOOK FOR FIRST TIME BUYERS

25 August, 2014

Mike Pero believes the proposed National housing plan would be positive for the housing market.

Over the weekend, National announced their $218 million HomeStart package which aims to help an estimated 90,000 first home buyers and young families into their own homes.

“I believe it’s a very positive outlook for homeowners and for the country’s housing problem. It’s a hand up rather than a hand out and I believe it fits well with the state of the nation and for thousands of people considering home ownership over the next few years” says Pero.

The HomeStart scheme would replace the Kiwisaver First Home Subsidy. It would assist those buying a new home by increasing support and house price limits. It will also allow first home buyers to withdraw a larger sum from their Kiwisaver savings (however they wouldn’t be able to withdraw their $1000 kick-start).

“In my experience it’s not the debt servicing that’s the issue for new home buyers, it’s getting the deposit together that’s the tricky bit so this seems to me to be a good start” said Pero.

Currently, first home buyers are eligible for a grant of $3,000 after three years in KiwiSaver, $4,000 after four years and $5,000 after five years. Under KiwiSaver HomeStart, this grant will double to $6000 after three years, $8,000 after four years and $10,000 after five years for the purchase of a newly-built home.

“On an example of a $550,000 home with a 10% deposit the repayments might be as low as $700 per week. If a couple of Aucklanders were renting they’ll be paying close to that in rent and if they could save, their savings would hardly keep up with inflation. My philosophy has always been buy now, pay later and you should always aim to get into a home as soon as you can. The earlier the better.”

The house price limits for KiwiSaver HomeStart and Welcome Home Loans will be $550,000 in Auckland, $450,000 in Wellington, Christchurch and other similarly-priced housing markets, and $350,000 for the rest of the country.

The KiwiSaver First Home Withdrawal is limited to members buying a first home, who have been contributing for a minimum of three years. The KiwiSaver HomeStart Grant and Welcome Home Loans have additional criteria of people having an income below $80,000 for an individual and $120,000 for a couple, and the house being purchased must be below the regional house price limits.

If National is re-elected, the changes would come into effect in April 2015.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On (Not) Taking Responsibility, Terrorism Porn, And Dylan’s 76th

So Martin Matthews, our current Auditor-General wishes he could have detected “earlier” the fraud that occurred on his watch at the Ministry of Transport. Hmmm. But he could have detected it earlier, surely? That’s the point.

Reportedly, some junior members of his staff had been trying to tell him and his senior colleagues in management for years about the fraudulent actions of Joanne Harrison... Not only were those internal alerts apparently ignored. Some of the whistle blowers were allegedly punished by losing their jobs, as Harrison and her colleagues in management took revenge on them... More>>

Auditor-General's Statement: Standing Aside for Review of Appointment
Yesterday, I wrote to the Speaker of the House of Representatives and requested an independent person review my suitability for the role of Controller and Auditor-General... More>>

 

NGOs Pleased: Govt To Halt Collection Of Client Data

Brenda Pilott, the chair of ComVoices and national manager of Social Service Providers Aotearoa, congratulates the government on its decision to call a halt to the collection of individual client data until the concerns of not-for-profit service providers have been worked through. More>>

ALSO:

Gosh: Blasphemy Law Repeal Struck Down

Chris Hipkins, the MP who tabled a Supplementary Order Paper to add our Blasphemy Law to the Statutes Repeal Bill, said this was a "sad day for freedom of speech, tolerance, and leadership". More>>

ALSO:

Gordon Campbell: On The Navy’s Dealings With Fat Leonard, And Twin Peaks

At an official level, our “she’ll be right” attitude routinely spills over into a keen resentment of anyone who suggests the outcomes may be less than satisfactory… The Navy has now gone one step beyond. It won’t even ask itself whether it did a good job. More>>

ALSO:

NZDF: Fifth Rotation Of Troops Heads To Iraq

The fifth rotation of New Zealand Defence Force troops left today for a six-month mission training Iraqi soldiers. More>>

ALSO:

Gordon Campbell: On The Demonising Of Iran

Will New Zealand still be willing to pursue its recent trade overtures to Iran, now that US President Donald Trump has used his speech in Riyadh to single out Iran as the main source of terrorism and instability in the Middle East? More>>

ALSO:

Pre-Budget Offers: Green Party’s New Plan Puts Kiwi Families First

The Green Party has a plan to help all Kiwi kids have a great start to life, by giving parents more financial support and more flexibility at work. More>>

ALSO:

 
 
 
 

Opening The Election Supporters

 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election