The KiwiSaver rollercoaster has been particularly steep lately, leaving many first-time home buyers in a precarious position. We're seeing clients lose thousands from their house deposits virtually overnight – one buyer recently watched $5,000 vanish from their KiwiSaver just between loan application and settlement!
What can you do if you're caught in this situation? First, review which fund your KiwiSaver is invested in immediately. If you're planning to buy within the next year, conservative or balanced funds typically make more sense than aggressive growth options. Many first-home buyers don't realise they can withdraw their KiwiSaver early through their solicitor, who provides an undertaking to hold funds in their trust account – effectively locking in your current value and preventing further losses before settlement.
While market drops create headaches for imminent buyers, there's a silver lining for long-term investors: your regular contributions are now purchasing units at discounted prices – like buying shares on sale! For those years away from needing their KiwiSaver funds, staying calm and continuing regular contributions often makes the most sense, as markets historically recover given enough time. Remember though, everyone's situation is unique, so connecting with qualified KiwiSaver advisors is crucial for personalised advice. Need help navigating these choppy waters? Reach out today and we'll connect you with professionals who can provide the specific guidance you need for your first home journey.

Send us a text

Support the show

Buy your first home in NZ Weekly Webinars

You thought it's not possible or the dream is too far away? Come to my webinar and I will show you, you are much closer to your dream, than you think you are!

Join Here - https://bit.ly/4m9SL72