Why are there deposit restrictions?

The Reserve Bank of New Zealand (RBNZ) has placed some restrictions around how much banks can lend to low deposit customers. This is commonly referred to as LVR (loan-to-value ratio) and is a measure of how much a bank lends against the price of your property.

There are a few exceptions to the LVR restrictions which mean you may not need a 20% deposit to get into your first home if you meet certain requirements. You may qualify for one or more these.

Low deposit options

Welcome Home Loan

In partnership with Housing New Zealand, you may be able to get into your first home with only 10% deposit with a Welcome Home Loan.

Your income will need to be less than $85,000 a year, or less than $130,000 a year if you’re buying a house with someone else. And the amount you can borrow will depend on where you live.

Read more about Welcome Home Loans

Building your first home

Building - you may not require a 20% deposit. But you must commit to the purchase at an early stage of construction.

Buying a recently constructed home - if you buy a recently constructed property within six months of completion from the developer, you may not need 20% deposit.

Learn more about building your home


The Government has put together a public building programme to build 100,000 affordable homes and apartments over the next 10 years. Most of these will be in the Auckland area with the remaining spread across the country, with price caps in Auckland and Queenstown.

There are eligibility requirements.

Read more about KiwiBuild

Small deposit saved

If you have a small deposit saved, and you know it's over 10% of the price of the property you're looking to purchase, we still might be able to help.

Talk to a home loan expert

Family assistance

You might be lucky enough to have family that would like to support you financially to achieve your home ownership dreams.

There are a number of different options for families to consider, the most common ways families help out are gifts, guarantees or by using equity in another home. Our home loan experts can help you understand your options but it's important to us that families receive independent advice before making a big decision like this.

Talk to a home loan expert - we're here to help

At any stage of your home buying journey, you can talk to one of our home loan experts, they can give you obligation-free advice and guide you through the process and the paperwork right to the end.

Our Mobile Mortgage Managers can come and meet you at a location of your choice and our Banking Consultants are available to talk to at your local Kiwibank branch. If you prefer you can also call our home loan team on 0800 000 654 between 8am and 6pm, Monday to Friday.

*The calculators should be treated as a guide only. They don't take into account all of your individual circumstances and are not financial advice.

A minimum deposit of 10% is required for a Kiwibank Welcome Home Loan. A Welcome Home Loan - Lenders Mortgage Insurance fee may apply. Kiwibank Limited and Welcome Home Loans terms and conditions (including lending criteria), fees and charges apply. For loans of over 80% of the property’s value, all banks including Kiwibank are subject to Reserve Bank restrictions.