The Government has announced changes to the KiwiBuild price caps. These changes better reflect the current housing market and aim to increase the delivery of new homes for first home buyers.

The key changes to KiwiBuild settings include:

  • Introducing a new income cap category for individual buyers with dependents, with an income cap of $150,000. This is consistent with recent changes to First Home Products and recognises that individual buyers with dependents may need to purchase a larger KiwiBuild home, which requires a higher income to afford.
  • Lifting the income cap for multiple buyers from $180,000 to $200,000 to reflect the higher cost of KiwiBuild homes – particularly those with three bedrooms or more
  • Allowing exemptions to the price caps for homes that meet accessibility/universal design standards (in addition to those with four or more bedrooms) to encourage the delivery of more of these homes to better cater to larger, potentially intergenerational, families which are more common in Māori and Pacific communities and for those with accessibility needs.
  • The changes are expected to also support the residential construction sector, by giving it greater confidence to continue building, including KiwiBuild houses.

The changes come into effect on 20 July 2022. Please note that the price caps will be reviewed again in approximately six months, to ensure the KiwiBuild programme remains responsive to changing construction costs and house prices.

Please visit the  KiwiBuild website(external link) for more information.

New KiwiBuild price caps

1 Bed/studio

2 Bed

3 Bed

Region

New Cap ($)

New Cap ($)

New Cap ($)

Major Urban Centres

Auckland region

550,000

760,000

860,000

Hamilton Urban Area

550,000

640,000

715,000

Tauranga Urban Area

550,000

740,000

780,000

Wellington Urban Area

580,000

760,000

850,000

Christchurch Urban Area

550,000

640,000

715,000

Queenstown-Lakes District

550,000

760,000

845,000

 

1 Bed/studio

2 Bed

3 Bed

Region

New Cap ($)

New Cap ($)

New Cap ($)

Rest of NZ

     

All remaining territorial authorities

550,000

640,000

715,000

Tags