KiwiBuild is a decade-long programme to deliver 100,000 modest, starter homes. It will take some time to ramp-up, but KiwiBuild initially plans to deliver 1,000 homes next year, 5,000 homes in 2020 and 10,000 in 2021. Some 43,000 people have registered an interest in the KiwiBuild programme.
Following registration, the second stage of the programme is the pre-qualification process, which is open at kiwibuild.govt.nz.
People who wish to purchase a KiwiBuild home will be asked to complete an online application to determine if they are eligible to enter a ballot.
Applicants will be required to submit their details alongside supporting documentation, including proof of pre-approved finance. KiwiBuild will then process their application to determine eligibility. If successful, the applicant can then proceed to a ballot.
Ballots are already open for two developments of KiwiBuild homes. The first is the McLennan development in Papakura and the second is @340 Onehunga, also in Auckland.
KiwiBuild applicants will typically be given a month to pre-qualify and enter the ballot. It means there is ample time to compile the required documentation and view the KiwiBuild homes.
It is important to remember that buying an affordable KiwiBuild home is the same as buying a home on the open market. Applicants must have a deposit and prove they can service a mortgage.
To ensure these KiwiBuild homes go to the people for whom they are intended, applicants must also:
Be a first-time buyer or a ‘second chancer’
Have an income of less than $120,000 for a single applicant, or no more than $180,000 for more than one purchaser
Be a New Zealand permanent resident or citizen, or a resident visa holder who is ‘ordinarily resident in New Zealand’
Intend to live in the home as their main place of residence for at least three years
The online pre-qualification process will ask for specific documentation including:
Proof of residency
Proof of income
Statutory declaration signed by an authorised person (e.g. a Justice of the Peace, lawyer)
Financial pre-approval from a bank or other lender
KiwiBuild will initially focus on areas with high housing demand and affordability pressures such as Auckland – half of all 100,000 homes will be built in our largest city. Other target areas are Wellington, Hamilton, Napier-Hastings, Queenstown-Lakes District, Tauranga, Whangarei District and Nelson-Tasman.
