Kiwibank will no longer accept pre-approved home loans for buyers with deposits smaller than 20 pct

Kiwibank has pulled the pin on pre-approved home loans, leaving hopeful first-home buyers in the lurch.

Newshub has obtained correspondence from Kiwibank saying it is no longer “able to accept pre-approval applications” for mortgages worth 80 percent or more of a property’s value – effective immediately.

One first-home buyer, who has asked to remain anonymous, is gutted after finding out Kiwibank won’t approve their mortgage application.

“I’m just really disappointed,” he tells Newshub.

He and his family have been desperately trying to get on the property ladder for a year.

“I didn’t expect to have the rug pulled out from under my feet.”