Secure Home

Affordable Home Ownership

Delivered by the Bridge Housing Charitable Trust

Building resilient and empowered communities,
through quality, affordable housing.
SECURE HOME
Contents
5 Secure Home : An overview
11 First home initiatives: Kāinga Ora
First Home Loan
6 Secure Home : Eligibility criteria
12 Secure Home : Exiting
7 Secure Home : Your obligations
13 Secure Home : The benefits
8 Secure Home : The costs
14 Secure Home : The finances
9 Secure Home : Raising a deposit
15 Secure Home : An example
10 First home initiatives : Kiwisaver
First Home Withdrawal
16 Where to next

18 Quick facts about Bridge Housing

 Secure Home was introduced
in the Waikato by the Bridge
Housing Charitable Trust in 2022,
based on Queenstown Lakes
Charitable Housing Trust’s model.
Designed to provide an alternative pathway to
home ownership that is affordable and stable,
Secure Home enables committed residents of the
Waipā/Waikato/Hamilton City District to settle
and thrive in our region.

The ownership structure of Secure Home

allows for Bridge Housing to hold these homes in
perpetuity, so that the community can continue
to benefit from the programme into the future.

4
SECURE HOME
An overview
Secure Home is a leasehold model of Bridge Housing retains ownership of
ownership, where you buy the house, the land and registers a 100-year lease
but not the land. over the land, in your name.

You pay a monthly Ground Rent to Bridge The Ground Rent is reviewed annually,
Housing for use of the land, currently set and only adjusted to match inflation.
at 1.5-2% per annum per annum of the
Trust’s share in the property.

When you no longer require the house,

Bridge Housing purchases it back from
you at the same price you originally paid,
plus an adjustment for inflation and
improvements (where applicable).
5
SECURE HOME
Eligibility criteria

 At least one adult member of your household must have NZ residency or citizenship.

 You cannot own in part or full, property or land anywhere in the world.

 An income cap is applied based on the number of people in your household, generally
no more than $150,000 per annum before tax.

 You need to have a minimum of 5% deposit of the purchase price.

 You will need approval for a home loan from a partnering bank, sufficient to meet the
purchase price, when added with your deposit.

6
SECURE HOME
Your obligations

 You must commit to a minimum of three years in the home.

 It must be your permanent home; you cannot sublet the property for more than
4 week per annum.

 You cannot purchase any other property while you are in Secure Home.

 Allow Bridge Housing to carry out annual property inspections, to ensure integrity of
the building is maintained.

 The financial commitments of Secure Home must always be met, which includes
home loan repayments, house insurance premiums, Council rates and maintenance
costs.

7
SECURE HOME
The cost of a
Secure Home
Below is a full list of the costs involved for Secure Home*.
All these costs (except Ground Rent) are standard for anyone who owns a home.

Initial purchase costs Ongoing costs

- Lawyers fees - Ground Rent to Bridge Housing

- Bank home loan fees - Property rates to the Waipā District Council

- Valuation fee - Regional rates to the Waikato Regional Council

- Body corporate levies (house insurance premiums included in this)

- House maintenance costs

*The exact costs of Secure Home can only be ascertained at the time a property becomes available.
8
SECURE HOME
Raising a deposit
The illustration below shows the variety of ways you can pull together a deposit for
a home, including the two Government initiatives designed to support first home
buyers (more on these next).

Banks usually require a 20% deposit, but if you qualify for Kāinga Ora’s First Home
Loan the deposit requirement is reduced to as low as 5%.

This means you may have enough now for a deposit on a home!

Family Financial Kiwisaver Kāinga Ora

Savings assistance windfall First Home First Home
Withdrawal Loan

Two Government initiatives to

support first home buyers

9
FIRST HOME INITIATIVES
KiwiSaver
First Home Withdrawal
The First Home Withdrawal allows you to access the funds in your KiwiSaver, to
use towards a deposit on your first home.

The following eligibility criteria must be met:

Available for first home buyers (and previous home owners should their financial position

be similar to that of a first home buyer, as determined by Kāinga Ora).

 You must have been a member of KiwiSaver for at least three years.

Eligible members can withdraw their KiwiSaver savings (including government contributions
 and tax credits), however, at least $1,000 must remain in their KiwiSaver account.

 As approved by your KiwiSaver provider (not all KiwiSaver providers allow a withdrawal
for this purpose).

How to apply: Contact your KiwiSaver provider. If you are a previous home owner, you will also
10 need to contact Kāinga Ora.
FIRST HOME INITIATIVES
Kāinga Ora
First Home Loan
The First Home Loan helps eligible first home buyers secure a home loan,
by reducing the deposit requirement to as little as 5%.

The following eligibility criteria must be met:

Available for first home buyers (and previous home owners should their financial position

be similar to that of a first home buyer, as determined by Kāinga Ora).

 Income before tax must not exceed $95k p.a. for single purchaser, or $150k p.a. for couple.

 You must have a minimum deposit of at least 5% of the purchase price.

The house you are buying must be within the regional house price cap (for the Waipā District,

the house price cap is $755k for new properties or $650k for existing properties).

How to apply: Contact Kāinga Ora.

11
SECURE HOME
Exiting Secure Home
The minimum commitment to Secure Home is three years, but beyond that you can stay for
as long, or short as you like.

When you no longer require the property, Bridge Housing will purchase it back from you.

The price paid back to you (reversion price) is calculated as follows:

the original purchase price

plus inflation adjustment for the period the home was owned by you
plus any previously agreed costs for home improvements
plus inflation adjustment for the agreed home improvement costs
less any monies owed to Bridge Housing

You cannot pass the home on to next of kin automatically, but we may be able to work with
your whānau to enable them to stay if they meet eligibility criteria and have the financial
capacity to enter into the programme themselves.

12
SECURE HOME
Benefits
Secure Home means you are no longer a tenant and impacted by the decisions of a landlord.
This is a home ownership opportunity that provides:

Affordability Financial Security Housing Stability

A home ownership model No longer paying rents as No longer at risk of the

far more affordable than determined by private home being taken back.
purchasing in the market. landlords.

Comfort Asset Ownership

Well-constructed homes that You are purchasing an asset,

are healthy, warm and dry. that is sold back to Bridge
Housing when you’re ready.

13
SECURE HOME
Getting your finances
in order
A key part of qualifying for Secure Home, is obtaining a home loan from a partnering bank.
The bank will look closely at your current financial position, as they want to be confident that
if they provide you with a home loan, you are not overcommitting yourself and that you can
continue to meet all your financial obligations.

The bank will want to see at least Here are some tips so that you get
3 months history of the following: in the best possible position:

- Your income (if self-employed, your financial accounts). - Remove small expenses like AfterPay and Layby,
as these greatly impact your ability to borrow.
- Your expenses and spending habits.
- Manage your day-to-day spending and consider removing
- Your debt servicing commitments. any unnecessary outgoings.

- Be aware of your bank account conduct. Make sure

there are no unarranged overdrafts or dishonours.

- Where you can, reduce or cancel lines of credit such as

credit cards, store cards, overdrafts, personal loans etc.
14
SECURE HOME
An example
Brand new 2-bedroom Bridge Housing house, of which the Trust’s share is $318k:

Weekly
Home Loan $277,162 Mortgage repayments* $ 425

Deposit (5%) $14,588 Rates, insurance & maintenance $ 100

Ground rent
UPFRONT PURCHASE PRICE $291,750 $125
(2% on $318k)

TOTAL $650

$650 weekly Secure Home costs compared to an average of $500 per week for a
2-bedroom rental property.
Secure Home vs. Rent = similar price range but with security of tenure and buildup of equity.
*Repayments on mortgage over a 30-year term @ 7.00%, interest rate and repayments include
15 principal so mortgage getting paid off. Based on total income of $100k p.a.
Secure Home
For some it’s an affordable and secure home for life.
For others it’s a great alternative to renting, and
stepping stone to independent ownership.

16
Where to next
To begin your journey towards assisted
home ownership with Bridge Housing,
all you need to do is visit our website
and click ‘register interest’.
bridgehousing.co.nz/register-interest
One of our team will then assess your eligibility and be in
contact with you.

If eligible, we will refer you to a partnering bank to assess

your eligibility for a mortgage. Once your finance is approved
and you have met the Secure Home eligibility criteria, we will
reserve a home for you until all finance conditions are met
and we can hand over the keys at the time of settlement!

17
Quick facts about
Bridge Housing

Bridge Housing is an initiative of the Brian We are working on offering additional

Perry Charitable Trust, established in 2021 housing programmes, carefully designed
to tackle the housing challenges faced in to ensure all eligible households can access
the Waikato District. affordable and secure housing, regardless
of their current financial position.

Bridge Housing is governed by a board of six

Trustees, all of whom live in our community We place the wellbeing of our clients
and have extensive professional experience at the heart of our work.
in areas relevant to our work.

18
Bridge Housing
Charitable Trust

Bridge Housing is committed to providing secure and long-term access to healthy

homes at an affordable rate for kiwi families. Low maintenance homes designed to
create a sense of community, encouraging interaction and combating isolation.

Thanks to
Our Secure Home partners and stakeholders

Bridge Housing Charitable Trust Private Bag 3091, Hamilton info@bridgehousing.co.nz www.bridgehousing.co.nz