Second chance Kiwisaver: Buying your second home

To use your Kiwisaver balance to buy a home that’s not your first, you’ll need to tick a few boxes. For one, you must meet the normal eligibility requirements:

• Have been a member of Kiwisaver for a minimum of three years. 

• Intend to live in the home you’re buying or building. 

• Not have withdrawn Kiwisaver to buy a home before. 

• Be buying land or property in Aotearoa, New Zealand.

You’ll also need to meet a few other requirements specific to the second chance withdrawal:

• You no longer own any shares or interest in any property (this doesn’t include ownership of Māori land).

• You don’t have any realisable assets equal to more than 20% of the house price cap for an existing home in the area you’re looking to buy. Realisable assets include cash or investments  in the bank, shares, stocks or bonds,  boats and caravans, vehicles or other assets valued over $5,000. 

Read more about realisable asset caps on the Kāinga Ora website here. 

To apply for a second chance Kiwisaver withdrawal you’ll need to go through your Kiwisaver scheme provider to withdraw funds as usual. Most providers offer an online application for Kiwisaver withdrawal, but with some you’ll need to contact them directly. 

As well as this, you’ll need to apply to Kāinga Ora, who will assess whether or not you’re in the same financial position as a first home buyer. Once they’ve made their assessment they’ll produce a letter to confirm that you’re eligible and send it to your Kiwisaver provider. 

To start a Kāinga Ora application click here. 

Note: you may also be eligible for a Kiwisaver First Home Grant even if you’ve purchased property in the past. If you’d like to apply for both a withdrawal and a grant, you’ll need to make two separate applications.