More than 60 percent of the 100,000 affordable KiwiBuild homes could be built in Auckland - 11,000 more than the policy promises.
A Cabinet paper released to Newshub under the Official Information Act reveals that in some regions KiwiBuild won't be able to deliver homes that are more affordable than what is already in the market for first-home buyers.
The paper outlines that if the houses are delivered in proportion to each region's need, 61,339 of them would need to be built in Auckland.
The paper provides a breakdown of the housing shortfall in each region from 2006-2017, and from those numbers draws conclusions as to where the KiwiBuild homes should be located.
Auckland, Wellington and Hamilton have the highest shortfall in new housing. The paper therefore proposes that nearly 13,000 are built in Wellington and 8200 in Hamilton.
Nearly 95 percent of the homes should be in the North Island (94,277) with the remaining 5723 to be built in Queenstown, Nelson-Tasman, Dunedin and Christchurch.
But the paper suggests that in some regions the KiwiBuild programme won't actually be able to deliver houses that are more affordable than what's currently available in some regions.
"For example in Gisborne, the lower quartile price is around $221,000, which is significantly below what we can deliver via KiwiBuild."
In those regions existing homes will likely be "substantially more attractive and accessible" to first-home buyers than KiwiBuild homes.
"In these regions there is an elevated risk of being left with KiwiBuild stock we are unable to sell to eligible households."