Kāinga Whenua loan

Most home loans are secured over the land and the house together. Multiple-owned Māori land can’t usually be used that way, so banks won’t lend on it in the normal way. The Kāinga Whenua scheme gets around this by securing the loan against the house alone, with Kāinga Ora standing behind the lender.

• Individuals who have the right to live on the land, through a licence to occupy granted by the owners, trustees or committee of management.
• Māori collectives such as land trusts, which have their own version of the scheme.
• You also need to meet the lender’s normal criteria, including showing your income can comfortably cover repayments.

1. Talk with your whānau and the other owners about building on the land.
2. Get pre-approval so you know what you could borrow.
3. Get a licence to occupy. With many owners this can take a while, so start early.
4. Design a home that meets the scheme’s building requirements.
5. Choose a builder and prepare a budget and plan.
6. Get final approval and start building.

The licence to occupy and the build are the slow parts. I can help you get your income, deposit and budget in order early, so the lending side is ready when the land side is. Kāinga Ora’s current booklet sets out the loan limits and requirements, so check it for the latest figures. Free legal help is available through Community Law.

• Kāinga Ora: Kāinga Whenua loans for individuals
• Kāinga Ora: Kāinga Whenua loans for collectives
• Kiwibank: Kāinga Whenua loans
• Community Law: Kāinga Whenua loans