"There are 17 adults and 43 children who were living in bottom-rung homes. Whanau who were living in horrible conditions - condemned homes, cow sheds, lean-tos, and buses. I think it proves what can happen when you make the most vulnerable families a priority," Mr Houghton said.
Mr Houghton mortgaged his home to help fund the project which was also funded through dollar for dollar government funding.
He said families started moving into the papakainga homes last weekend. Some were parents with children, some grandparents with their moko and there was also a solo dad moving in with his kids.
"Every day they tell me how thankful they are to be in there but for me I see it in the faces of the children.
They invite me inside to look at their rooms because they've never had their own room. Kids laugh and play, it's everything I hoped it would be," he said.
The families living in the papakainga will be under a strict no alcohol, no illegal drugs and no violence policy. They will have access to the puna reo and free specialist support like budgeting and home ownership courses.
Mr Houghton said there will also be a vegetable garden, fruit trees, cows for milk and meat, chickens for eggs on site. Meanwhile, the emergency accommodation, which also opened last week, consists of 35 one-bedroom apartments for singles and couples.
"There is no other emergency housing for singles and couples in Kaitaia. They can come here for up to 90 days," he said.