Q: If two sons each inherit a 25 per cent share in the family home as tenants in common with the remaining parent who continues to live there, does this affect a first-home withdrawal or HomeStart using KiwiSaver funds?The first-home withdrawal, one of the few opportunities to withdraw some KiwiSaver funds before retirement, is aimed at helping those who don't own property get into a home.
A: I asked Donna Nicolof, BNZ's head of wealth and private banking, how providers would treat an application from your sons.
Nicolof says one of the criteria to qualify as a first-home buyer is that you have never held an "estate in land", either solely or jointly with another person.
"Unfortunately, because the two sons each continue to hold a 25 per cent share in the family home, neither of them qualifies as a first-home buyer."
There are exceptions to the general rule so it is important to talk to your KiwiSaver provider or Housing New Zealand about your eligibility to access KiwiSaver funds or the HomeStart grant.