Ngā Potiki to secure mortgages from Westpac NZ

Tribe closes deal to help Tauranga families get into property ladder

By Krizzel Canlas

19 Jul 2018

Treaty settlement tribe Ngā Potiki a Tamapāhore Trust has entered into an agreement with Westpac NZ that will help Tauranga families get on the property ladder.

The Ngā Potiki Housing Shared Equity Scheme is one of only three shared equity housing schemes in New Zealand designed to assist first time home buyers into home ownership and the property market.

According to Nga Potiki a Tamapahore Trust, the signing marks the culmination of over twelve months work with their advisers to design the scheme, and over eight months of negotiations with Westpac NZ to finalise the agreement.

“We are very pleased to be able to deliver this opportunity to our tribal members and provide real and direct benefits through our treaty settlement,” Ngā Potiki chairman Colin Reeder said. “We welcome Westpac as a long-term partner to Ngā Potiki.”

The idea is that the scheme will see Ngā Potiki contributing equity as a co-owner with tribal members to buy their first homes. Westpac NZ will provide lending to the member, who will need to satisfy the bank’s normal criteria. As equity builds in the property, the member will be able to buy Ngā Potiki out of the arrangement.

Ngā Potiki housing project coordinator Victoria Kingi noted: “The provision of quality affordable housing is a critical post-treaty settlement strategy for Ngā Potiki, the benefits of which will positively impact many other areas such as health, education, employment, general wellbeing and whanau wealth.”

Currently, Ngā Potiki approved 21 families to benefit from the scheme, with construction to commence in October.

Westpac NZ CEO David McLean, meanwhile, said: “We’re committed to growing New Zealanders’ financial wellbeing and keen to contribute to innovation that helps more New Zealanders into affordable homes. With housing increasingly unaffordable in many areas we think shared equity is a solution that has strong potential.”

Ngā Potiki a Tamapāhore Trust are the owners of housing development, Manawa, in Papamoa, now in its second stage, and are recognised for their literacy and numeracy programmes provided to many schools in Tauranga.