This can change from time to time, but generally most banks criteria for deposits are determined by the amount of deposit you are putting down on a purchase.

If it’s a 5% deposit you are putting in, the banks will want to know that the money is wholly yours and that you have saved it yourself or have held onto it for around 6 months at least. They want to know that you haven’t borrowed that money or received it as a gift recently. This is referred to as a “genuinely saved funds” .

Kiwisaver funds are considered to be “genuinely saved funds”.

If your deposit is 10% or 15% of the purchase price, then the banks will still want to know that you have saved 5% of it, but generally they are open to the other 5% coming from Housing NZ, a gift or from the sale of a car or other large asset.

If your deposit is 20% or higher, they generally don’t mind if all the funds come from a gift.

In all cases, the banks don’t like it if you have borrowed any of the money you are putting down as a deposit on a purchase. They prefer that you don’t have more debt to repay once you have the mortgage in place.

As this criteria changes from time to time, it is best to talk to your mortgage adviser about your situation.