Home ownership costs

MSD must check whether the client qualifies for Accommodation Supplement. If the client is entitled to an Accommodation Supplement this must be granted before assessing whether the client qualifies for Temporary Additional Support.

Home ownership costs may still be included in Temporary Additional Support if the client does not qualify for Accommodation Supplement.

Accommodation costs that can be assessed as home ownership costs include:

• mortgage repayments (interest and principal repayments on mortgages to purchase a home)
• payment towards a deposit if included in a rent to buy contract
• retirement village residents with 'Licence to occupy'
• body corporate fees
• local authority rates (if they get a rebate, this must be deducted)
• water rates
• house insurance premiums (must not include contents insurance)
• mortgage protection insurance or life insurance (only if this is compulsory for the mortgage)
• cost of essential repairs and maintenance to the home

Other costs that can be considered accommodation costs are:

• leasehold rental for leasehold land and for Māori rent
• principal and interest repayments made under the Loans for Major Repairs Advances to Homes scheme
• costs of a farm residence (but only if these costs are not claimed as an expense in the farm business account)
• costs of a home that is also being used as a business (but only if these costs are not claimed as an expense for the business)