A Papamoa couple have bought their own home thanks to the help of a ground-breaking local budgeting scheme. Photo/file
A Papamoa couple have bought their own home thanks to the help of a ground-breaking local budgeting scheme. Photo/file
A Papamoa couple have bought their own home much sooner than they ever could have imagined thanks to the help of a ground-breaking local budgeting scheme.
Eighteen months ago the couple signed up to a Government-backed pilot scheme, aimed at helping renters save a deposit, and have just signed thepaperwork to build their own home.
The Papamoa mother of two, who agreed to share their story on condition of anonymity, said she and her partner doubted they would have been in this position any time soon without the help of Tauranga Budget Advisory Service, who runs the programme.
She and her partner worked fulltime but after paying $420 a week in rent, child care costs, household bills and outstanding debts, there had not been much money left over, she said.
"We both have KiwiSaver accounts but getting over the line to sign up to buying or building a house just seemed such a very long way off," the client said.
Tauranga Budget Advisory Service home project financial mentor Alison Craig. Photo/Supplied.
"Yes, it was a bit embarrassing at first disclosing our financial information to a stranger, but we tried to do this on our own for a quite a while, but just couldn't never get ahead.
"It's really exciting to think that by the end of this year we should be moving into own home.
"We have to thank the Tauranga Budget Advisory Service who helped us get over the line much sooner than we would ever have imagined."
The scheme, launched in 2015 by Tauranga Budget Advisory Service, was believed to be a New Zealand first and involved budget advisers managing all or some of their clients' income.
The service's home project financial mentor Alison Craig said it was "absolutely fantastic" that one of the first couples who joined the scheme had just signed a contract to build their own home.
Ms Craig said clients had to commit to a financial management programme for up to a year, be prepared to work with the service's coaches to create a balanced budget and enter into a special savings plan.
Clients were also coached through a network of housing providers, banks, real estate companies, lawyers, community organisations and local government agencies.
So far, 35 clients had signed up to the scheme and were at various stages in the process of working towards owning their own home, she said
"It could be next year or five years away or possibly longer before a client gets to that position but committing to this scheme is a huge step towards achieving their goal."
Some top budgeting tips to better managing your finances
Know exactly how much money is coming in and going out.
Write down a budget to track your spending and savings.
Work out what you can spend BEFORE going shopping.
