Spring is here and lots happening in the world of Mortgages.
Fix or Float?
A lot of people ask this question and my advice is as we are in a rising rate market it’s good to fix for at least 2 or 3 years and if possible float enough to overpay on. Floating rates are up 1% this year but not expected to rise before March 2015. There are still plenty sub 6% fixed deals around at present and cash contributions too. A couple of Banks will throw in a TV!
Time to refix?
Banks will generally allow you to refix 30 to 60 days out from the due date. Useful in a rising market and if breaking a fixed rate it’s unlikely you’ll be charged a break fee as the Bank can on-lend the money at a higher rate.
Low Deposit?
The Reserve Bank has certainly had an impact in the last year, some say good but a lot say bad, particularly for smaller towns and rural New Zealand. We still have 90% mortgages for regular property in most areas, all we need is the address and we’ll tell you what is possible.
Self Employed?
New Zealand is build on the Self Employed yet many Banks make life difficult when it comes to Mortgages. We have specialist products funded by Westpac and BNZ to help, no Financials needed!
Credit not the best?
Happens a lot and fortunately there are mortgages for those in this situation. Yes it’s more expensive but generally it’s short term pain for long term gain, especially in the Cities where property is continuing to rise in value.
Investment property in Queensland?
Many Kiwi’s own property in Queensland and we’ve hooked up with a group of Developers to make the buying process easy and safe. Finance also available both here in NZ and over in Australia. All property is brand new and command high rental returns.
Why use a Broker?
Why not? 99% of time there are no charges made. Brokers do all the work, go for the best rates and as all Banks pretty much pay the same there is no bias. At iLender we make you a promise. If we cannot match or beat ANY deal offered by a Bank we will pay you $250, we’re that confident, put us to the test. (some T&C’s, min new advance $250,000)
The Market in 2014/2015
As we deal all over the Country we’re in a good place to see what’s happening. It’s clear that we have a two tier New Zealand in the property market. Auckland and Christchurch are powering ahead with little sign of slowing. Immigration and internal migration are at a 12 year high, rates are still on the low side and construction simply can’t keep up with demand. Elsewhere the market is less buoyant but confidence is growing. Our prediction for 2014/2015 is that Auckland and Christchurch will see increases of around 10% and other areas around 5%. As always in the property market, now is good.
Reviews on our service?
We are proud to say we have more reviews on our service than any other Broker in New Zealand on Trademe. Have a read here, then decide.
Want some advice?
Simply pick up the phone 0800 536337 (0800 LENDER) or visit us at www.ilender.co.nzor email Jeff Royle at [email protected].
Jeff Royle
iLender – Mortgage Experts
www.ilender.co.nz
