Saving a 10% deposit in 2025 might feel out of reach - but the realities tell a different story. From KiwiSaver balances and rental costs to real case studies in Auckland and Christchurch, we break down what it actually takes to get into your first home - and why it might be more achievable than you think.
Understanding the Realities of a 10% Deposit
When it comes to saving a 10% deposit in 2025, there’s no shortage of noise. Some say it’s impossible, others say it’s easy – so what’s the truth? We looked at average incomes, rent, cost of living, and KiwiSaver balances to paint a realistic picture for couples in their 20s and 30s.
The average Kiwi in their early 30s earns around $70,000 a year before tax. Combine that with a partner, and you’re looking at roughly $105,000 net income annually. But with average Auckland rent sitting around $650 – $690 a week, and basic grocery costs skyrocketing (olive oil at $20 and butter nearing $10), your budget can feel tight.
Despite this, many are sitting on sizeable KiwiSaver balances without even realising they’re already halfway there. One example? A couple in their early 30s with $80,000 in KiwiSaver – already enough for a 10% deposit on a $800,000 home.
Case Studies: Auckland vs. Christchurch
We modelled two scenarios to showcase what it might take to save a 10% deposit in 2025 in different parts of the country.
Auckland Couple
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Ages: 22, working in marketing and software
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Combined net income: $125,000
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KiwiSaver contribution: 8% combined (employer and employee)
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Estimated KiwiSaver balance after 6 years: $72,000
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House price: $800,000
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Required deposit: $80,000
With an annual surplus of $60,000 after living costs, they could top up the remaining $8,000 deposit in under four months—or stretch it to eight months for a financial buffer.
Christchurch Couple
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Ages: 22, working in teaching and architecture
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Combined net income: $112,000
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Estimated KiwiSaver after 6 years: $66,000
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House price: $650,000
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Required deposit: $65,000
Thanks to lower living costs and a cheaper property market, this couple has no deposit gap. Their KiwiSaver alone covers the full 10%, making Christchurch a more accessible market for first-home buyers.
What About Government Support?
While the First Home Grant has been phased out, the First Home Loan scheme still exists. It allows eligible buyers to secure a mortgage with just a 5% deposit—but there are caveats:
Although these schemes can get you into a home sooner, it’s essential to weigh the long-term financial impact.
Key Takeaways
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The realities of saving a 10% deposit in 2025 are more manageable than they seem, especially if KiwiSaver is utilised effectively
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A couple earning average incomes can often hit their deposit goal within 4–6 years—or faster with a clear plan
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Living costs differ significantly between cities, with Christchurch offering more affordable entry into the market
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Government schemes like the First Home Loan can help, but come with higher costs and should be approached strategically
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Your KiwiSaver might be doing more heavy lifting than you realise—check your balance
Next steps:
If you’re thinking about buying your first home but don’t know where to start, speak to Lighthouse Mortgages. They’ll walk you through every step and help you understand how much you really need to save.
If you’d like to learn more, check out these other episodes below.
For a no obligation discussion to see how we can help you on the path to wealth, please contact us.
Disclaimer:
The information in this article is general information only, is provided free of charge and does not constitute professional advice. We try to keep the information up to date. However, to the fullest extent permitted by law, we disclaim all warranties, express or implied, in relation to this article – including (without limitation) warranties as to accuracy, completeness and fitness for any particular purpose. Please seek independent advice before acting on any information in this article.
