Some find the process of applying for and receiving a mortgage rather stressful whilst others seem to go through the process without too many hiccups. Either way it is good to understand the steps to be undertaken and what the Lenders are looking for at each step.
- Firstly you have to either approach a Bank or Mortgage Broker. A broker will be a free service generally and will be armed with the facility to direct you to any number of different banks and building societies.
Fill out an application form- Three months bank statements will be required which is the banks way of understanding how you live your life. They are looking at ‘account conduct’ which is how you manage your money; do you go overdrawn without authorization? Do you have dishonor fees? They will also be looking at how you spend your money and what direct debits you have. All of this is painting a picture of your character to the Lenders. If you are new to New Zealand then overseas statements may be required. If you are applying from abroad then local statements may be required
- A New Zealand credit check will be initialized which you will authorize in the application form. Its important to understand that even with a few credit hiccups your broker may still be able to help. New to NZ, then your record will be clean.
- Identification, a copy of your passport or driving license will be needed. If its not a Kiwi passport then evidence of your residency status will be required. Non residents can still get a mortgage but must put down a deposit of more than 20%
- Confirmation of Income. 2 Pay slips for PAYE applicants are required or a copy of the business Accounts for business owners. All other income such as working for families will also have to be documented. I have facilitated many mortgages after candidates have supplied a letter confirming the job and salary that new arrivals will be taking up so long as a date is specified.
- A signed copy of the sale and purchase agreement, unless you are going for a pre approval application.
Wow, quite the paper trail here but it will be the task of your Mortgage Broker to help you through the process and put the best application into the Lender of choice.
It will be the duty of the Mortgage Broker to understand your position fully and direct you to the Lender who will best suit your needs. So whatever your circumstances whether business owner or credit impaired or just looking for the best deal, then there will be a Lender that suits your requirements.
Please remember that all Banks have different criteria, interest rates and specials.
Amazingly there can be as much as $ 100,000 difference in eligible borrowing for a Client depending on their lending criteria, that’s why we have access to over 20 Banks and Lenders at Morgan Steel with over 100 products!
I will be glad to advise you through this process and try and take away the stress as much as possible
If you are overseas then a pre approval can be initiated which is a basic ok from the Bank before you find your dream house. If you have just arrived it should all go smoothly if you have a letter showing the job you will be starting. Without a job you can still get a mortgage but will need a substantial deposit.
For any other information please contact Jim Sheridan on
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or call on 0064 75789 645. New Zealand hours please 
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