KiwiSaver first-home withdrawal: the rules, how much and how long

Can I use my KiwiSaver to buy my first house?

Often yes, and the usual rules from Inland Revenue and Sorted are these:

• You have been a KiwiSaver member for at least 3 years.
• You're buying your first home, or you've owned one before and Kāinga Ora confirms you're in the same financial position as a first-home buyer (see below).
• You plan to live in the home, so it can't be a rental or an investment.
• You leave $1,000 in the account.
• You have not already used a KiwiSaver withdrawal to buy a home.
• The home, or the land you'll build your home on, is in New Zealand, and if you're building, the withdrawal goes towards buying the land rather than the build.

Your provider has the final say on whether you qualify. If you're also looking at the lending side, our Kāinga Ora First Home Loan page covers one option for first home buyers.

How much of my KiwiSaver can I withdraw?

If you've been in KiwiSaver for at least 3 years, haven't made a first-home withdrawal before, and are buying your first home in New Zealand to live in, you can usually withdraw everything except $1,000 and any Australian super you moved across.

Inland Revenue publishes KiwiSaver withdrawal statistics each year if you'd like a sense of typical amounts, and the KiwiSaver withdrawal calculator page shows how an estimate is worked out, although your provider works out the real figure.

How long does a KiwiSaver first home withdrawal take, and what are the steps?

Each provider sets its own timeframe, so it pays to check yours as soon as you've got a likely settlement date.

Steps and timing at a glance

• Check you qualify. The rules are above, including the Kāinga Ora check if you've owned a home before.
• Ask your provider for an estimate early. Many providers can give you a rough figure before you find a home, which helps with pre-approval, and our KiwiSaver withdrawal calculator gives a ballpark in the meantime.
• Get your offer accepted. Providers usually want the signed sale and purchase agreement before they process the withdrawal.
• Apply to your provider. Fill in its first home withdrawal form, which usually needs witnessing by your lawyer or a Justice of the Peace.
• Your provider pays your lawyer. The money goes to your lawyer's trust account, not to you, and is used towards the deposit or settlement.

The buying process page shows how it all fits together.

Can I use my KiwiSaver if I've owned a home before?

You can only make a first-home withdrawal once, so if you've already used one you can't withdraw again. If you've owned a home or land before, no longer own any property or share in one, and haven't made a withdrawal, Kāinga Ora can check whether you're now in the same financial position as a first-home buyer (some KiwiSaver providers call this a second chance), for example after a separation. That check looks at things like your savings and other assets, and because it comes before your provider's, it helps to ask early.

Can I use KiwiSaver to buy a house with someone else?

Often yes. When you buy with a partner, friend or family member, each person who meets the rules can use their own KiwiSaver. If one of you has owned a home before, only the other person may qualify for the first-home withdrawal, unless Kāinga Ora confirms they're in the same financial position as a first-home buyer.

Can I use KiwiSaver at an auction?

Not for the deposit you pay on the day, because a winning auction bid is unconditional and there's no time to wait for a KiwiSaver payout, although KiwiSaver may still go towards settlement. Auctions carry extra risk for first-home buyers, which the pre-approval page covers. Many buyers talk it through with their lawyer and sort out pre-approval before bidding.

The First Home Grant closed to new applications on 22 May 2024. For the full picture of where a deposit can come from, see the deposit page.

If you want KiwiSaver advice for after you buy, Summit Wealth is part of the same group.

Common questions