Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


KiwiSaver home buyer support tweaked

Hon Dr Nick Smith

Minister for Building and Housing

28 April 2016 Media Statement
KiwiSaver home buyer support tweaked

Changes to KiwiSaver withdrawal rules for buying a home will make it easier for second-chance homeowners, Building and Housing Minister Dr Nick Smith says.

Dr Smith today released the first full year results of the HomeStart scheme, which showed it has helped 11,943 people into their first home with grants of $55.6 million; about double the number and value taken up under the more narrow previous scheme the year before.

The $435 million HomeStart scheme, which came into effect on 1 April 2015 to replace the KiwiSaver First Home Deposit Subsidy, has been projected to help 90,000 people over five years.

“The government is tweaking one aspect of the KiwiSaver home buyer programme in response to feedback in respect of second-chance home owners,” Dr Smith said.

“The current scheme limits KiwiSaver withdrawals to first home buyers and people who have previously owned property but have low assets and earnings. The asset limit is twenty percent of the house price caps of $550,000, $450,000 and $350,000, and the income limit is $120,000 for a couple and $80,000 for an individual.

“The income limits are being removed on 1 July 2016, meaning a second-chance homeowner whose assets are small will be able to access their KiwiSaver funds to buy a home regardless of how high their income is.

“This change will help many thousands of mid-life, middle-income New Zealanders who have been through a separation or business failure and are struggling to get back into home ownership by enabling them to access their KiwiSaver funds."

Dr Smith said HomeStart was part of a wider programme of work the government had under way to help more people into owning their own home, such as freeing up more land faster and initiatives to constrain building material costs and cut compliance costs.

“The government is deliberately screwing the scrum in the property market in favour of the first home buyer and owner occupier, with the HomeStart grants and KiwiSaver withdrawal scheme. Property investors are facing tougher loan-to-value ratios and tighter tax rules, as well as new landlord obligations on insulation and standards.”


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Australia's Superior Ways Of Communicating About Its Vaccine Rollout

It isn’t only on the cricket field that Australia performs better. The clarity and degree of detail in Australia’s published schedule of the priorities for its vaccine rollout has been very impressive. Here for instance, is their initial “1a” top priority category: Quarantine and border workers, including: staff at entry points to the country (such as sea ports and land borders)... More>>


Joint Press Release: Dirty PR Exposed In Whale Oil Defamation Trial

Three public health advocates are relieved that their long-standing Whale Oil defamation trial against Cameron Slater, Carrick Graham, Katherine Rich and the Food and Grocery Council has finally concluded and they are pleased that the truth has come out... More>>


Government: Next Stage Of COVID-19 Support For Business And Workers

The Government has confirmed details of COVID-19 support for business and workers following the increased alert levels due to a resurgence of the virus over the weekend... More>>


Government: PHARMAC Review Announced

The Government is following through on an election promise to conduct an independent review into PHARMAC, Prime Minister Jacinda Ardern and Health Minister Andrew Little announced today... More>>


Government: Balanced Economic Approach Reflected In Crown Accounts

New Zealand’s economic recovery has again been reflected in the Government’s books, which are in better shape than expected.
The Crown accounts for the seven months to the end of January 2021 were better than forecast in the Half Year Economic and Fiscal Update (HYEFU)... More>>

Covid-19: Auckland Back To Alert Level Three After One New Community Case Revealed

Auckland will move to alert level three for a week at 6am tomorrow morning after two new Covid-19 community cases announced this evening could not be directly linked to earlier cases, the Prime Minister has confirmed.
The rest of the country will move to level two.... More>>

NZ Initiative: New Report Highlights How Our Housing Crisis Could Worsen If We Don’t Act Now

If New Zealand politicians thought the housing crisis in 2020 was bad, the worst is yet to come, warns a new report by The New Zealand Initiative. In The Need to Build: The demographic drivers of housing demand , Research Assistant Leonard Hong ... More>>

Parliament: Kiwi MPs Among The “Most Educated In The World”

New analysis of MP qualifications reveals New Zealand’s Parliament is one of the most educated and highest qualified in the world, and significantly more educated than Australia’s. The research, by Mark Blackham of BlacklandPR and Geoffrey Miller ... More>>




InfoPages News Channels