At Kiwi Mortgages we are here to help you whether it’s a first home loan, mortgage refinance, investment property loan, home loan rates, business or equity loan, lowest interest rate or you just want to consult with the mortgage broker. At Kiwi Mortgages, we can make the process of getting your financial services easy, stress free and at the best terms possible.
At Kiwi Mortgages, we do the hard work for you – from completing the paperwork to dealing with the banks and financial companies. With our mortgage advisor team, we work with all the banks and mortgage lenders so can help you secure the best mortgage rates no matter who you choose to bank with.
1. Is there any fee for using Kiwi Mortgages services?
No, our services are free.
2. What is your best interest rate?
In most cases, it is seen that people like to fix the interest rate on their loan for certain period like 1,2,3 years or more, so it gives more certainty to their household budget, but in some situations, it may be more advisable to have the loan on floating interest rates or a combination of both. It all depends on your situation, the analysis of which we can help with. In New Zealand, currently the banks are offering the historical lowest ever interest rates, ever seen in this country.
3. Will my interest rate change?
The fixed interest rates do not change until the period for which they have been fixed expires and then you again have the ability to re-fix them. The floating rates can change any time.
4. How much money do I need to buy a home?
Enough to complete the purchase. Typically, the banks require you to put in some contribution from your side towards the purchase.
5. How much can I borrow?
You would require to borrow the purchase price of the house minus the deposit from your side but whether or not the banks will approve your loan depends upon your income. Importantly enough, it also depends a great deal on how the application is presented to the lender, which is where experienced broker such as Kiwi Mortgages can be of immense help.
2. How much do I need for a deposit?
Normally, the banks require minimum of 20% deposit, but we can arrange loans at even 5-10% deposit if you are purchasing the house to live in there. A minimum of 30% deposit for an investment property. Normally a deposit of 35% will be required as a minimum for commercial properties but it can vary depending on the particular situation. Talk to us.
3. Can I access the First Home Owners Grant?
You can be eligible for the home start grant as per below:
1- $1,000 for each completed year of kiwi saver membership, subject to a maximum of $5,000, if you are purchasing an old existing home
2- $2,000 for each completed year of kiwi saver membership, subject to a maximum of $10,000, if you are purchasing a brand-new home
3- And provided you meet the following conditions:
a. You have been contributing to kiwi saver for a minimum of three years
b. You are purchasing the house for living in there and not for renting out
c. Individual income no more than $85k p.a. and household income no more than $130k
d. The maximum purchase price should not exceed $600k for old house and $650k for brand new house if purchasing in Auckland. There are limits for other parts of the country – talk to us for more information
2. How much money can I save by consolidating my debts?
Typically, the loans not secured by your house are at a very high interest rate, sometimes as high as 20% or more. The banks are offering around 3.55% p.a. these days (This rate is at 7th Sep 2019 and interest rates offerings change all the time) and with a non-mortgage debt of say $50k at an average interest rate of say 15% p.a., you could potentially save about $5,000 to $6,000.
2. How much can I borrow for the business finance ?
For small business loan, the main banks normally require at least half the acquisition cost be contributed by the borrower.
3. What business loan terms are available?
Up to 10 years and some cases even 15 years, depending on lenders’ assessment.
Q1- How do I use my equity to purchase an investment property?
Assuming you have sufficient equity in your existing property or properties, the lender may consider providing you funding for you to purchase the investment property, without any cash contribution from you. However, please note that lender’s assessment would not just be limited to availability of equity but will include full assessment of the application.
Q2- How will my loan application for investment property be assessed?
Any lending application depends upon the lender’s lending criteria and remains subject to lender’s assessment of the proposal.
Accordingly, at a high level, the assessment for an investment property loan, as a minimum would include, reference to your credit file, scrutiny of your bank statements, availability of equity, if any and your servicing ability of the proposed lending.
Q3- How much equity do I have in my property or properties?
Equity is calculated on how much your bank will lend you based on your existing property’s current market value and the amount you still owe on your home loan. The banks have a different policy for the maximum lending amount against owner-occupied properties and rental properties.