The next step for KiwiBuild registrants - the pre-qualification

The thousands of people who registered their interest in KiwiBuild homes have received their first correspondence from the new Government scheme.

The ambitious scheme aims to build 100,000 'affordable' homes in 10 years.

An email sent to those who registered says "pre-qualification" will open "in a few weeks."

"You'll be able to provide the details online to show you qualify for KiwiBuild and are able to buy a KiwiBuild home," the message says.

That means providing proof you have the deposit, and "proof the banks are willing to loan you the money needed," KiwiBuild told Newshub last week.

Those who pass the pre-qualification stage will be able to enter the ballot for any homes they wish to buy. The homes will be sold at a fixed price to whoever's name is drawn from the ballot.

There will be stiff competition to win the ballot - 33,000 New Zealanders have registered their interest.

Analysis done by Newshub last week showed households will likely need to earn higher than the average wage in order to afford repayments.

Mortgage repayments on a $500,000 one-bedroom home would be about $622 a week. 

You must meet key criteria to enter a ballot to buy a KiwiBuild home:

  • You must be a New Zealand permanent resident or citizen
  • You must be a first home buyer, or be in a similar financial position as a first home buyer
  • You must intend to live in the home for a minimum of three years
  • You must have a household income of no more than $120,000 for a single purchaser, and no more than $180,000 for a couple.

Newshub.