Experienced Auckland mortgage brokers who are assisting individuals and families to turn their dream of owning a home into reality. Borrowing money can sometimes be a stressful process but with the help of Professional Financial team, getting a property mortgage or arranging refinance is possible without stress.
Professional Financial have wealth of experience in finding mortgage solutions for buying your first home, investment property or refinancing your existing mortgage. They believe in structuring your debt in a way to become mortgage free faster.
First question we get asked is how much can I borrow?
How much can I borrow?
The answer depends on your income, your current assets & liabilities and ability to afford the repayments. In most cases, you will need at least a 20% deposit.
If you are eligible for a Welcome home loan scheme supported by Housing New Zealand, you may be able to borrow with less than a 20% deposit.
If you’ve been contributing to KiwiSaver for at least three years, you could be eligible for a KiwiSaver HomeStart grant.
If you are buying an existing home, you could be eligible for $1,000 for each year you have been contributing to a maximum of $5,000. By including your partner in the purchase of your house, you both could get up to $10,000.
If you are buying a newly built home, you could be eligible for $2,000 for each year you have been contributing – up to a maximum of $10,000 and with the contributing qualifying partner, you could get up to $20,000.
It also pays to keep your credit card debt and small loans to minimum balance. Your positive geared assets can help you as well in getting a bigger loan amount.
Second question we get asked is about how to structure their home loan.
Structuring home loan
Fixed or Float and how long?
Fixed loans means you pay the same interest rate for the fixed number of months or years. You can fixed it for up to 7 years with some banks. It gives you the financial security with a fixed repayment amount for each period. You can break a fixed loan and repay it early but it can incur hefty penalty costs.
Floating loans have interest rate that changes over time. Your repayments are changing each month based on Official Cash Rate (OCR). When the rates go down you pay lower repayments but the downside is if they go up you may have to adjust your lifestyle to keep up with the repayments.
A mixture of fixed and floating home loans suits many people as it offers degree of flexibility.
Next question is how do I get conditionally approved?
With our conditional approval, you can bid on the house you want.
Once you find the house and your lawyer gives you the go head, our mortgage approval will seal the deal.