A state house that has sat empty for almost two years and been targeted by vandals will soon be transformed into a home.

"We are pleased to say we have a family moving into the Campbell St property shortly," a Housing New Zealand spokeswoman said.

The Campbell St house had $10,000 worth of renovations done in 2014 after its last tenants were evicted. However, the property remained vacant and vandals struck again.

Neighbouring residents claimed its dilapidated state was devaluing their homes and urged Housing New Zealand to find a family for the house.

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Instead they put it on the market.

Labour's Tukituki spokeswoman Anna Lorck worked with the community and continued to put pressure on the government organisation to find a family for the home.

She was elated at the news a family would soon be moving in.

"It's a major win for the little guy."

She said the case showed the impact a united community could have.

"It's massive. We were told before December it was going on the market and yet we knew of families who desperately needed housing," she said.

"I'm incredibly proud of the community who got behind and fought this. They are the true champions," Ms Lorck said.

Statistics obtained under the Official Information Act show that before Christmas last year there were 117 empty state houses in the Bay and 182 people are on the waiting list to get a house.

"Now that's one down, 117 to go," Ms Lorck said.

"That's just the ones that we know about."

She believes the criteria makes placing families in state homes too difficult.

"They seriously need to look at that criteria, it's restrictive instead of workable."