Kiwibank’s latest State of Home Ownership Index reveals that the Kiwi dream is still alive, with 85% of New Zealanders saying home ownership remains at its heart. Despite ongoing financial pressures, nearly half of non-homeowners (43%) believe buying a home is more achievable than last year, up 7% year-on-year.

Steve Jurkovich, Kiwibank Chief Executive, says: “We know buying a home isn’t always easy, especially over the past couple of years with rising living costs and higher interest rates. But we’re seeing incredible resilience from Kiwi who are determined to get on the ladder.”

Key findings from the research include:

• Owning a home is seen as crucial to getting ahead: 67% agree (up 1%), with stronger agreement among homeowners (72%) than non-owners (56%), and highest among younger generations (Millennials 69%; Gen Z 68%).
• Motivations are anchored in stability and security: Among non-owners, 88% want the independence of having their own space, 85% seek improved quality of life, and 80% want more stability and control.
• Barriers persist: 57% of non-owners feel locked out of the market (an improvement of 6%). The biggest obstacles remain cost of living (60%, up 2%), high house prices (57%, down 2%), and saving for a deposit (45%, up 1%).
• Adaptability is strong: To get on the ladder sooner, 70% would cut expenses (up 3%) and 58% would accept a smaller home (up 2%).

“While optimism about getting on the ladder has lifted, many Kiwi still feel locked out. Yet, true to Kiwi spirit, they’re willing to adapt and compromise to achieve their dream of homeownership. That includes exploring non-traditional pathways like co-ownership (36%) or relocating to a different region (45%).

“What’s great to see is that more Kiwi feel confident about the homebuying process, with mortgage advisers and banks being the most common sources of guidance. That’s exactly what we’re here for – having great conversations and helping you every step of the way, from saving for a deposit to finding a way to get you on the ladder.

“Beyond first-home buyers, homeowners are showing real determination. 82% say paying off their mortgage quickly is their top priority – and we’re seeing that in action. Around 40% of our fixed-rate home loan customers are making extra payments each month, putting them on track to clear their loans sooner. It’s a strong signal of Kiwi commitment to financial security.

“As we look ahead, lower interest rates and recent Loan-to-Value Ratio changes are expected to open up more opportunities for home buyers.”

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