Q: How long does it take to withdraw KiwiSaver funds for a property purchase?
A: If you’re buying a property and planning to put your Kiwisaver funds toward the deposit or settlement, make sure you advise your solicitor in advance.
Releasing funds from your KiwiSaver account may take longer than you expect and the process is often more complicated than many people realise, so it’s best to navigate the process with your solicitor’s assistance.
Your application needs to be sent to your KiwiSaver provider at least 10-15 working days before the day you need the funds for your deposit or settlement. You’ll need to consider this timeframe before signing any sale and purchase agreement, as you may need to delay the deposit payment or change the settlement date accordingly.
If you’ve been living overseas, the application processing times can be even longer than normal due to the ‘clawbacks’ the IRD need to make relating to your contributions. If you’ve spent time living overseas, it’s important to let your solicitor know upfront to ensure your KiwiSaver funds can be withdrawn on time.
Note: This post is brief and general in nature. You should not treat it as legal advice and should seek professional advice before taking any action in relation to the matters dealt with in this post. Armstrong Murray accepts no liability for losses suffered by any person or organisation who may rely directly or indirectly on this post.
