Jennifer Martin B.A., Psychology with Early Childhood Education Certificate, Duke University M.Ed., Instructional Leadership with Concentration in Reading, Writing and Literacy, University of Illinois.
Kiwisaver is already proving to be an incredible tool for young people who are otherwise struggling to break into the property market and buy their first home. Those who donât earn the big bucks may often find the idea of saving to buy a house seems like an unattainable pie-in-the-sky kind of thought; but thatâs not the case! Home ownership could be a much more realistic goal than you think.
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In cases of properties being bought off the plans, the KiwiSaver HomeStart grant may be paid out prior to settlement to assist you with the initial payment or progress payment required as stated in the agreement you have entered into. In these cases, the grant must be held in trust, in escrow or similar arrangement, with payment to the developer only on settlement. Before signing any contract or agreement, you should always seek legal advice. If you are considering buying a property off the plans, it is highly recommended that you discuss this with your solicitor before signing the agreement. You will also need to ensure that there are projected start and completion dates stipulated on the contract and that the developer is aware that the KiwiSaver HomeStart grant is to be held in trust or in escrow until settlement date.
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