What is the difference between the First Home Grant and the First Home Loan?

Short answer: Grant = up to $10,000 cash. Loan = buy with 5% deposit. You can use both.

What this actually means in plain English

The First Home Grant gives you up to $10,000 cash toward your deposit. The First Home Loan lets you buy with only a 5% deposit instead of the usual 20%. You can use both together. Think of the Grant as free money, and the Loan as easier lending rules.

Key Facts

First Home Grant: up to $5,000 for existing homes, $10,000 for new builds
First Home Loan: only 5% deposit required (vs 20% standard)
Both have income caps and regional price caps
You apply for both through Kainga Ora

Example

House Price: $600,000

Standard Deposit: $120,000 (20%)

First Home Loan Deposit: $30,000 (5%)

First Home Grant: + $5,000

Total You Need: $25,000

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