Whether you’re a first home buyer or a seasoned investor adding a new property to your portfolio, there’s no denying that navigating the world of mortgages can be tricky.
I think market conditions have made things even more confusing in recent months. Interest rates have remained low, which would typically indicate an accommodative climate, but banks have become increasingly picky and selective about who they will – and won’t – lend money to. Indeed, the number of new residential mortgages approved in August 2017 (the most recent data available at the time of writing) was down almost 18 percent compared with August 2016, according to the Reserve Bank of New Zealand.
This may sound discouraging, but the good news is that a professional mortgage broker can help guide you through the mortgage application process and maximise your chances of securing a home loan. In the last week we’ve seen investment lending approved to 80% LVR (loan to value ratio), so if you’re thinking of investing now could be a great time.
Here are a few ways Penberthy mortgage brokers can support you:
We support you from beginning to end
Taking out a home loan can be a little daunting. Not only is there a substantial amount of money involved, there’s also a lot of paperwork to fill out and bureaucratic hoops to jump through. A mortgage broker can guide you through the process from beginning to end, offering impartial advice on home loan products and repayment plans, while also ensuring you dot your i’s and cross your t’s on all the required paperwork.
We provide industry insight
Over the years, we’ve developed strong relationships with all the major banks in New Zealand and are uniquely positioned to provide you with detailed insight into how these lenders operate. We’re finely in tune with each bank’s niche market and the factors they take into consideration when calculating your serviceability. This insider perspective means we know exactly what makes a prospective borrower attractive to the banks, which can be critical when the time comes to present your application.
We help you get the best deal
Perhaps the most obvious advantage of using a mortgage broker is that, in many cases, we are able to help you get a better deal than you could on your own. We’ll use our best negotiation strategies to work our magic with the banks and shop around on your behalf to find the right mortgage suited to your specific needs. Simply put, we do everything we can to help you secure a lower rate so that you can pay off your mortgage faster.
As banks continue to move in unpredictable ways, it’s more important than ever to use a mortgage broker you can trust. If you’re thinking about taking out a home loan, we’d love to hear from you. Give me a call for a no-obligation chat or come into the office and we can discuss your options over a coffee.