| At BNZ, we know that saving for a deposit, buying and then paying the mortgage on your home can sometimes be a challenge. If you’re looking to enter the property market, but need a hand getting into a home, you’ve come to the right place!
How much will you be able to borrow?
Depending on your circumstances, we could lend you up to 95% of the value of your home.
This figure depends upon a few things like your income, current financial commitments and number of dependants. In essence, we need to know how much you can afford to repay – so you don’t end up taking on more debt than you can afford. As a rule of thumb, your loan repayments shouldn’t be more than about a third of your take-home pay.
Lending options when you’ve got a smaller deposit
If you’ve only got a small deposit it doesn’t mean you have to make do with a smaller home!
Our Low Equity option is designed for people with a deposit that’s less than 20% of the home’s value.
Customers who are borrowing more than 80% of the house value* under the Low Equity option will be charged an extra margin on their loan; this is known as an interest rate premium. Our bankers will be able to advise you fully on this option.
Lending options when you don’t have a regular income
Not everyone is paid a regular income on a weekly, fortnightly or monthly basis. So we offer a “Low Doc” (low documentation) loan especially for people who are self-employed, contract workers or for those whose income is paid as a commission – basically people who don’t have a consistent income. As long as you’ve got a deposit not less than 35% of the home’s value, then a Low Doc option could be suitable for you. An interest rate premium will apply on this loan.
Initial home set-up costs to keep in mind
As well as the purchase price of your new home there are a number of other costs that maybe incurred so remember to allow for:
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Valuer's fee - up to $800
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Legal fees - up to $1,500
-
Share of rates already paid by the vendor
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Insurance costs
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Removal costs
(This list is provided as a guide only)
What will I need to apply?
There are a few general requirements when applying for a BNZ home loan. You need to:
- Be at least 18 (16+ if you are, or have been, married)
- Have a minimum gross income of $20,000 p.a.
- Have a clean credit history
- Have a deposit of at least 5% of the purchase price of the property
Apply now, buy
later – getting a pre-approved home loan
Having your loan pre-approved** is a great way
to be better off. Knowing exactly how much you can afford to borrow
gives you the confidence to bid at an auction or make an offer on the
spot without having to wait to talk to the bank about finance. So even
if you don’t have a particular home in mind, it’s worth
talking to us today.
BNZ home loans are not available through brokers.
| Our home lending criteria and an establishment fee apply. A Low Equity or Low Doc interest rate premium may apply. Not available for business purposes or packaged offers. |
| * |
Includes where customers’ loans have inter-linking securities and the total amount of those customers’ loans is greater than 80% of the value of all properties used as securities for those loans. |
| ** |
Conditions apply |
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