Do you dream of owning your own home? If so, you are not alone. Most Kiwis want to own their own home. However, the dream of homeownership is fading for many New Zealanders. The Kiwi Family in 2021 report, commissioned by OneChoice, revealed that as many as eight in 10 feel it’s impossible to buy a home. Moreover, the report showed that four in five house hunters feel they are locked out of the property market, and a staggering seven in 10 are losing hope they will ever be able to buy their own home.

However, the report also showed that around 83 per cent wouldn’t mind if their first home isn’t their dream home – they just want to get into the property market. Moreover, more than half of the respondents were making sacrifices, such as cutting back on their lifestyle expenses, and a third of the respondents were pooling resources with their family or friends to buy a home together.

Perhaps you are in the group of Kiwis that are losing hope of ever getting into a property, and it may seem impossible at the moment. Even more so given that the country is on the highway to recession. However, at the Mortgage Whānau, we believe that getting into property is possible for a lot of people, but first you need to know what your gap is.

So, what’s the gap?

Your gap is the space between where you are now and owning a home. This is one of two things: 

Income or deposit

Either your income isn’t high enough or you are lacking the deposit or it’s a combination of the two. Now that you know what your gap is you have something to work with. Say your gap is income. How can you increase your income?

Do you get a bonus every year? If yes, can you get that bonus as a part of your salary instead of a bonus? Banks shave bonuses, which is why it’s better to have the bonus as a part of your salary. 

Perhaps you could also consider taking in a boarder, as this will also increase your income. If you have older children living at home, it could also be time to charge them board. If you’re self-employed you may be able to take on more work. There are usually ways to increase your income if you just think a little bit outside the square.

Now, if your deposit is your gap, you first and foremost need to figure out exactly how much you need in deposit. Most people think they need more in deposit than they actually do. For instance, first time home buyers only need a five per cent deposit with Kāinga Ora*. And if you go with your existing bank you usually only need a 10 per cent deposit. So, once you know exactly how much you need for the down payment, you can start planning accordingly. We recommend that you put money into a separate account for the deposit each week, and then not touch that money.

As always, we recommend that you work with a mortgage broker when buying property. We know all the ins and outs of the industry, and we can tailor advice to your specific financial situations. And remember, working with a mortgage broker is free (we get paid by the banks), so there really is no excuse for not booking a meeting with us.

*There are eligibility criteria you need to meet for the First Home Loan.


This is general financial advice. For tailored financial you need to book a meeting with us.