Property guide · New Zealand
How Much House Deposit Do You Need in NZ?
Calculate a New Zealand house deposit at common percentages, understand 20% and low-deposit lending, and separate the bank deposit from the offer deposit.
Reviewed 26 August 2026
Reviewed by KiwiTools editorial team — NZ property researchers using government, council and Inland Revenue sources
General information only, not financial, tax, lending or legal advice. Property, lender and council rules vary; obtain advice and current quotes for the specific purchase.
Key points
NZ house deposits in brief
A 20% deposit equals the purchase price multiplied by 0.20; a $700,000 purchase would therefore require $140,000.
Some buyers may qualify below 20%, but lender rules, low-equity costs and property restrictions can apply.
The bank deposit toward the purchase and the deposit stated in a sale and purchase agreement are related but not necessarily the same amount or timing.
Deposit and LVR examples on a $700,000 home
A purchase deposit and the deposit paid under the sale agreement are related cash commitments, but they are not always the same payment.
| Check | Cash/equity | Loan required | LVR |
|---|---|---|---|
| 10% deposit | $70,000 | $630,000 | 90% |
| 15% deposit | $105,000 | $595,000 | 85% |
| 20% deposit | $140,000 | $560,000 | 80% |
| 25% deposit | $175,000 | $525,000 | 75% |
Calculate a deposit from the house price
Multiply the expected purchase price by the target deposit percentage. Alternatively, divide available deposit funds by the purchase price to find the percentage.
Calculate the resulting loan and LVR as well. A smaller deposit produces a larger loan, higher repayments and less protection if the property value falls.
Why 20% is a common reference point
A 20% deposit produces an 80% LVR, a widely used reference in New Zealand lending. Sorted notes that lenders often lend up to 80% of the value or price, generally using the lower accepted figure.
This is not a universal promise. Apartments, unusual properties, new builds, investor purchases and individual borrowers can be assessed differently.
Related: first home buyer guide Related: kiwisaver first home withdrawal Related: costs buying house
Buying with less than 20%
Low-deposit lending may be available through lender policies or eligible first-home pathways. It can bring stricter serviceability checks, valuation requirements, low-equity premiums or interest-rate margins.
Compare the full cost and conditions instead of focusing only on reaching the smallest possible cash amount. Confirm current criteria directly with the lender or programme provider.
Bank deposit versus purchase deposit
The bank deposit is the buyer equity contributing to the purchase. A sale and purchase agreement can also specify a deposit payable when the agreement becomes unconditional or at another agreed point.
The agreement deposit forms part of the purchase funds, but timing and percentage may differ from the lender’s total deposit requirement. Ask the lawyer to explain the exact obligation before signing.
Frequently asked questions
How much is a 20% deposit on a house?
Multiply the purchase price by 0.20. For example, 20% of $750,000 is $150,000.
Can I buy a house in NZ with a 10% deposit?
It may be possible for some borrowers and properties, but lender availability, approval criteria and low-equity costs apply.
Do buying costs count toward my deposit?
No. Legal fees, reports, valuation, moving and reserves should normally be budgeted separately from the deposit.
Does KiwiSaver count as a home deposit?
An eligible first-home withdrawal can contribute to purchase funds, subject to scheme, timing and eligibility requirements.
Put the guide into practice
Continue with related KiwiTools calculators
Test your own numbers, compare scenarios and return to the guide to check assumptions and limitations.