A family could only watch yesterday as their home in the Northland town of Kaipara was trucked away after they failed to keep up the mortgage payments.
Matthew Tapurau was given an hour to remove his family's possession before workers, under the watchful eye of police, cut the foundations and loaded the house on to a trailer, the New Zealand Herald reported.
The house had home of Mr Tapurau, his father Bill and his father's girlfriend for the past 18 years.
Bill Tapurau, a construction worker, said he did not know what he would do. When he and his wife had separated in 1995, the house was mortgaged with the Westpac bank in her name.
He said he could not make the payments.
It is understood that the house has been the subject of court action.
Westpac would not comment because Mr Tapurau did not own the house.
Police said they were there "to keep the peace".