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Can an Uber driver get a home loan in New Zealand?

If you're an Uber driver in New Zealand and you're looking to obtain a home loan, you may be wondering how banks will treat your Uber income. The good news is that many banks in New Zealand are open to considering Uber (and other ridesharing income for that matter!) as a source of income when it comes to home loan applications. However, there are certain criteria you need to meet in order to be considered for a home loan based on your Uber income.First and foremost, it's important to understand ...

Stop stressing about your 'credit score'!

It's so common for us to hear people talking about their 'credit score'...So, does a credit score really matter and what's it all about?!In New Zealand, credit scores are not as important as they are in the United States when it comes to obtaining a home loan.Unlike in the US, where credit scores are a major factor in determining whether or not a borrower is approved for a loan and what interest rate they receive, in New Zealand, banks and other lenders take a more holistic approach to assessing...

Top 10 Home Loans Myths - Debunked!

As mortgage advisers, we often hear and see information out there that is just not true! There's so much information available these days and it seems that what might be true in other parts of the world, aren't necessarily true in New Zealand. So...a quick list of myths we commonly hear and the truth behind them below!Myth: You need a 20% deposit to get a mortgage.Reality: While a 20% deposit is ideal, you can still obtain a mortgage with a smaller deposit, such as 10% or even 5%. There are...

Home loans for energy efficient upgrades and electric vehicles

Since 2021, all 5 of the main New Zealand banks have brought out home loan products specifically for energy efficiency and helping make New Zealand homes warmer, dryer, and heathier. Some banks have also extended these to be for energy efficiency in other ways too including solar panels, home batteries, and even electric vehicles.Let's go through them at a high level  and see what might be right for what you are wanting to do:...

Making an offer - what do these terms mean?

Making an offer on a property is one of the most exciting parts of buying a home. You've found a place you love and you just want to move in - but first there might be a bit of negotiating and that huge long legal document we call a Sale and Purchase Agreement, which we'll talk about here today.  Let's break that down for you and explain what all these terms mean;...

The Saturday Adviser - What's that all about?!

Introducing "The Saturday Adviser" by My Mortgage: Your Weekend Mortgage Adviser with AdamAt My Mortgage, we're dedicated to making the mortgage process as simple and stress-free as possible. That's why we're excited to introduce "The Saturday Adviser" by My Mortgage. We understand that it's not always easy to take time off work during the week to meet with a mortgage adviser. That's why we're offering appointments with Adam, our expert weekend mortgage adviser, via zoom on Saturdays.During...

Compounding Interest - How to make it work for you?

The cool thing about the concept of compounding interest is that it’s pretty simple and it’s an easy thing to take advantage of if you’ve got the capacity and desire to do so.Brief explanation below…The bank charges interest on your loan balance daily, then bills you for that on a weekly/fortnightly/monthly basis.So if you have a $100,000 loan and get charged 5.2% interest that’s $5200/yr, or $100/wk.At the end of week one you’re then getting charged interest on $100,100, so at the e...

How to Help Ease Mortgage Repayment Pressure

When it comes to reducing the cost of your mortgage, there are several factors that you need to consider. The following points will help you identify where you can save money on your mortgage. Check your loan term - with interest rates having been at historic lows over the past few years following Covid-19 and a hot property market, many of our clients increased repayments (or the portion of their repayment allocated to paying back principal) and hence have been paying more than the mi...

Cash Contributions/Cashbacks - What are they?

When you apply for a new home loan with a bank, they may offer you a cash contribution as an incentive to choose their loan product. A cash contribution is a sum of money that the bank will give you if you take out a loan with them, and this amount can vary depending on the bank and the loan type you choose.The cash contribution is usually a lump sum payment that is paid directly to you, and it can be used for a variety of purposes. You may choose to use the money to pay for expenses associated ...

Townhouses and Turnkey builds as your first home

This episode we talk about townhouses and turnkey builds - what they are, how they’re different from other builds, and how to fund them! We discuss:The difference between townhouses, duplexes, and apartments, and what turnkey means. How turnkey properties are different from a house and land package or standard build.How you source your deposit, including specifics of the first home grant. How much you’re bringing to the purchase vs how much the bank is bringing, and new build exemptions.Time...

From unconditional day till settlement - What happens?

This episode if all about the process from unconditional day to settlement day, some of the terms we use and decisions you’ll have to make to ensure your home loan works for you. We discuss: The importance of getting the right loan structure - we explain table loans, interest-only loans, floating interest rates, and touch on revolving credits.Interest rates, and how you can plan for different rates based on your financial circumstances.Cash-backs - some warnings and advice, what most people d...

First Home Partner - get into your first home quicker!

First Home Partner is a shared ownership scheme to help aspiring first home buyers whose deposit and home loan aren’t quite enough to buy a home that meets their needs, purchase a home together with Kāinga Ora.The way this works is that Kāinga Ora bridge the gap up to 25% of the value of the property, or up to $200K, whichever is the lower amount. You will need to meet the lending requirements of a participating bank to receive a home loan (we can help with that!) and be able to co...

Once my loan is pre approved, what do I need to know?

In this episode, we talk about all the bits and pieces you need to know once you have a home loan approval. We get into:What a mortgage actually is - what a lawyer/solicitor does, security, the difference between a mortgage and a home loan, and what ‘freehold’ means.Title types - some of the most common legal descriptions for property (freehold, cross-lease, unit title & apartment), including examples of each and an explanation of body corporate fees.Some of the issues that might come up...

How to get a first home loan approval?

In this episode, we talk about how to get a home loan approval. We cover:ServicingTest Servicing RatesWhat the bank needs so much information!The difference between banksFind Podcast here...

First Home Buying team - Who do you need to help buy your first home?

In this episode, we outline the different people that make up your home-buying team! We break down who you need, and what they do:Mortgage AdvisorsA Solicitor or lawyerAn AccountantReal Estate AgentsA Registered ValuerA Building inspectorAn Insurance ExpertFind Podcast here...

The First Home Loan, LEM's and LEP's, Valuations, Servicing requirements & the factors that influence agreements

In this episode, we cover what you need to know if you’ve got less than a 20% deposit for your home loan. Including:The criteria for the First Home Loan.Some of the general principles and policies around ‘over 80% lending’.The meaning of low equity margins and premiums, the difference between them, and how much should you expect to pay.Registered valuations, how they work, and what it means for how much the bank will loan you.How servicing requirements change depending on your deposit amou...

Parental guarantees, The Springboard Loan, Joint ownership, gifting & loans for deposit

This episode is all about how family can help you with your first home purchase. We discuss:Parental guarantees - The likelihood of success with a parental guarantee, potential restrictions on the parents, and whether banks are keen to accept it.The Springboard loan - Which banks are involved, how it works, and who it’s for.The positives and negatives of joint ownership, including a quick chat about bright-line property rule.Getting a loan from parents to make up your deposit - some scenarios ...

First Home Loan, First Home Grants, & KiwiSaver for buying your first home

Welcome to the first episode of the My Mortgage Podcast! This episode is all about the government-backed first home-buying assistance schemes.We discuss:The first home loan - the banks that offer it, the deposit you need, the benefits and criteria, income caps, your debt, and the change in property caps.We also talk about low equity fees and lender's mortgage insurance, or LMI.The first home grant - how you can access it, the amount you can get, and the low down on price caps. We also talk about...

Home Loan Cash Backs - What are they and when can I get them?

Cash Contributions (or cash backs as most people call them) are essentially  money that the lender gives to the borrower as a way to say thanks for doing business with them. It is a little carrot at the end of the process  of getting a loan sorted. They can range anywhere from 0.5% to 1% of the value of your lending and sometimes as high as $20,000 depending on the loan , the loan product and the lender....

There's never been a better time to buy your First Home

While plenty of people are lamenting big changes to tax legislation, the rise of interest rates and the crunching of credit criteria, the current conditions have opened up opportunity - and for many first home buyers, it's their time to shine!Why is this? Let's have a look at some of the factors contributing to what we think is a great time for you to get on the property ladder in 2022....

Did your bank say "No"? We can help

In recent times we're hearing more and more stories about banks turning borrowers down and in many cases, there are things we can do to improve your situation.I'd like to shed some light on recent changes in the mortgage landscape and share how we've been helping clients navigate these challenges successfully....

Going your separate ways? Let us make it easy

It's something we're seeing more and more.People who have jointly purchased properties over the past few years are now seeking to part ways.Sometimes this is friends, siblings or family members. Other times it's relationship break ups and can be a bit more complex.In all situations, this can be managed really positively and efficiently with the right appraoch....

How to make the most of your income when applying for a Mortgage

Banks are tightening their belts. We're witnessing increased interest rates, stricter serviceability rates, and in some cases, banks are less accepting of certain income components than they used to be. For instance, if a significant part of your earnings comes from bonuses, dividends, or profit shares, you might find it challenging to get the nod from your bank.So today I thought it would be worth exploring how to optimize your income to enhance your mortgage application, especially in the curr...

Having options - what does it mean?

Options.Something we've harped on about for years, and is a base for what we've built our business on. Having multiple mortgage options coupled with advice is an unbeatable combination in long term success in paying off your lending, as well as setting you up for success.So why is it so important?...

Making a move before Christmas? All you need to know

We're a few days away from Spring and that means most people are looking forward to warmer days, sunshine and an upcoming Summer!What does that mean for homeowners? Often it's a move to a new home for Christmas, and to avoid getting caught out later in the year, we're recommending you get pre-approved early.Whether you're buying your first home, upgrading or considering a build, we're here to help, and we always recommend good planning for great results!...