Buying with friends & family

With Co-own you may be able to turn the dream of owning a home into reality by teaming up with friends or whānau! Buying a property together could be a way to get on the property ladder sooner.
Co own friends on grass

This is a different way to buy a home

  • Combine savings with friends or family to achieve the deposit goal faster, getting you all on the property ladder sooner.

  • Provides the ability to share ongoing property related expenses such as home maintenance, rates and insurance.

  • Together you may be able to borrow the amount that's needed to buy the property you're all after.

How it works

Steps to help you on your Co-own journey

  1. 1

    Choose your co-owners

    You'll want to make sure you know and trust each person you're teaming up with, and are comfortable with sharing your personal information with them. It's important to discuss each person's goals, and agree on short and long term plans for the property. You also need to be aware of the risks of borrowing and owning a property with others.

  2. 2

    What's affordable?

    You'll all need to be aware of how much each person may be able to contribute towards the deposit, home loan repayments and property-related expenses. Once you're all on the same page, get in touch with a home loan specialist to understand how much you may be able to borrow together.

  3. 3

    Who else can help?

    It's important everyone thinks about what borrowing and owning property with each other may mean for them. Reaching out to a lawyer and/or a financial tax adviser, like an accountant or tax consultant, may help outline the risks and considerations. While you each decide who could provide independent legal and tax advice, get in touch with a home loan specialist to talk through the home loan application process.

  4. 4

    Apply for conditional approval

    Conditional approval gives you an idea of how much, as a group, you may be able to borrow. A home loan specialist can help guide you through the application process. You'll all need to be comfortable sharing personal information with each other, and provide us with documents like proof of income, bank statements and identification.

  5. 5

    Set up a property sharing agreement

    Engage with a lawyer to create a property sharing agreement between all co-owners. The agreement sets out the co-owners' rights and obligations in relation to the property. We recommend independent legal advice is obtained before signing the agreement. There will be an additional cost for this advice and the preparation of the agreement, however it's worthwhile to help prevent future disputes. The property sharing agreement is between all co-owners and doesn't include Kiwibank, therefore Kiwibank isn't bound by anything in the agreement.

  6. 6

    Make an offer

    When you and the other co-owners have found a property, share the detail with your home loan specialist. They'll confirm the loan amount and outline any conditions that will need to be met before we can provide an unconditional offer of finance. The conveyancing lawyer should check the sale and purchase agreement before it's signed. Read more about what happens after settlement.

Some things to think about

Some things to consider independently before deciding whether co-owning a home with friends or whānau might suit you. There are risks involved in co-ownership and it's an important decision that should be carefully thought out.

  • Buying a home with friends or family can be very exciting. However, it's not without its challenges and risks that could put stress on any relationship. It's important you discuss possible scenarios with the other co-owners and expectations are shared openly. Having those challenging conversations upfront can help ensure you're all on the same page before commencing the Co-own journey.
  • While teaming up with others may be a way to help you get on the property ladder sooner, it's important to explore other options available to help you make the right decision. For example, if eligible, you may prefer a low deposit home loan. Read more about how KiwiSaver can be used to help you reach your deposit goals .
  • Your lawyer is the best person to explain the risks associated with co-ownership, and advise you on different ownership structures and what to include in a property sharing agreement. It may also be a good time to review your Will.
  • For a joint home loan, even if you only own a share in the property, you'll still be liable for the entire home loan. This means if one co-owner can't pay their share of the loan repayments, then the other co-owners must cover the shortfall. Any defaulted home loan payments may adversely impact all co-owners' credit ratings.
  • If you're liable for the entire home loan, this may impact your ability to borrow more debt in your own name.
  • As you'll be taking on new debt and co-owning with others, you should each consider Life & Living Insurance.

Start your Co-own journey

Talk to one of our home loan specialists to see if Co-own is an option for you.

Talk to a specialist

Our home loan specialists can walk you through the process of buying a home and discuss what your options are.

Find a specialist

How to apply

Have a look at how the home loan application process will go and what you'll need before you apply.

Find out more

Download our Co-own how-to guide for more information.