First Home Buyers Calculator

The new home buyers calculator has been designed to make it quick and easy to estimate the weekly cost of buying your next home. Just enter the following information in the calculator below to work out your weekly cost of ownership. There are more tips below the calculator to help you get started.

Property Purchase price: How much are you paying for the property? Check out maximum purchase price allowed if you are using Kiwisaver HomeStart Grant

Rent received from tenant/flatmates p.w: Are you renting out a room or buying a dual income or home and income property to help subsidise the mortgage? Add expected average weekly income here.

Cash saved towards deposit: How much cash do you have saved? Start with the maximum and then adjust downwards if you plan to borrow a larger amount.

Are you using the Kiwisaver HomeStart Grant?: Read the criteria for eligibility details. It provides a couple (2 buyers) up to $20,000 as a grant towards their first home if its new (or $10,000 if second hand).

Buyer 1 & 2 Years in Kiwisaver: If yes to above, select the number of years each buyer has been in the Kiwisaver program.

Contributions from anyone else?: Add family loans, vendor rebates and anything else at all that can help with deposit.

Amount to borrow: After deducting your cash deposit, how much will you borrow? If you are using equity from another property as security, enter the purchase price as the full amount to borrow.

Total deposit available: This is the total deposit you have at your disposal to contribute toward your purchase.

Mortgage interest rate: This is an interest only calculator to help you check minimum affordability. Enter the interest rate you can borrow at to buy this property.

Mortgage amount required: This is your purchase price less your total deposit available. To adjust mortgage amount, simply increase or reduce your cash saved towards deposit value.

% to borrow: This is the percentage of the purchase price you will need to borrow from a bank. You can borrow 80% to 95% of the purchase price depending on your circumstances. You may pay a higher interest rate when borrowing at a higher percentage. Talk to an experienced mortgage broker.

Cost to own this property: This is the average amount you will pay weekly once rental income (from flatmates/tenants) and mortgage payments are combined. How does this compare to your rent payments today? Sometimes owning costs less than renting.

Average annual capital growth: This will vary, but 5% - 8% per year is the long term average for most metro areas with positive population growth. Regional areas will vary. This helps you work out how much your equity (wealth) will increase over the next 10 years from owning this property. If unsure 5-6% is conservative.

Property value after 10 years: Forecast property value based on capital growth rate you selected above.

Equity gained after 10 years: The difference between the property value in 10 years and what you paid for the property at purchase.

Need help? Send us an email, we would love to help.