Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search


New LVR ratio means buyers need to be better informed

22 August 2013

New LVR ratio means buyers need to be better informed

The New Zealand Reserve Bank’s announcement of new loan-to-value ratio restrictions, which come into effect on October 1, means seeking advice from mortgage advisers has become increasingly important, says General Manager of Mortgage Express, Sarah Johnston.

“The new ratio restrictions will make it more difficult for first home buyers and investors to purchase property. This means it has become even more important for home buyers to consult mortgage advisers, who can provide sound advice on a broad range of options open to purchasers.”

Whereas banks will only advise on whether or not an applicant meets their own criteria, Registered Financial Advisers (RFAs) are able to provide advice across many different lenders and products.

“The new restrictions mean that home buying has now become an affordability issue. It’s not so much about security anymore, but what people can afford. So for example a young couple with great incomes but a low deposit and no security will have to look outside the box to secure a loan,” says Johnston. “It’s really important for people to know what their options are, so we would recommend a comprehensive financial assessment from a registered mortgage adviser.”

Mortgage advisers can review offers from banks as well as discuss alternative loan options, such as caveat lending, parental guarantees and personal loans. They can also provide home buyers with no obligation ‘financial health checks’, advice on re-financing, purchasing investment property and insurance.

About Mortgage Express

Mortgage Express is the fastest growing mortgage and insurance adviser company in Australasia. In operation since 1998, it has access to over 16 lenders, 6 insurers and 200 products, and has helped more than 20,000 New Zealand families buy their dream homes. With 37 advisers across New Zealand, Mortgage Express assists in settling over 2,200 loans annually.

Mortgage Express is owned by Harcourts, New Zealand’s largest real estate group, a privately owned New Zealand company which operates in 10 countries around the globe.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Environment And Conservation: Changes To Our Oceans Pose Serious Concerns

New Zealand’s oceans, coasts, and marine wildlife are under growing pressure, according to the first national report from the Ministry for the Environment and Statistics New Zealand about the marine environment. More>>


Police Authority: Use Of Taser Was Disproportionate And Unjustified

The Independent Police Conduct Authority has found that an officer’s second use of a Taser on a mentally unwell Hokitika man was disproportionate and unjustified. More>>


Gordon Campbell: On Holidays, Hekia Parata And Badlands

Hekia Parata, adieu. Reportedly, she’s been ‘passionate’ about education. She has “bravely’ led the charge on the government’s education reforms. In the past week , many of the postscripts to Hekia Parata’s career as Education Minister have sounded like a schoolteacher desperately trying to find some reason why a D student can be marked up to C minus. More>>


Minister of Finance: Plan Shows $100 Billion Infrastructure Projects

Finance Minister Bill English has today launched the Government’s Ten Year Capital Intentions Plan (CIP) which shows a pipeline of $100.9 billion worth of infrastructure projects over the next decade. More>>


Werewolf: Safe Landings Gordon Campbell on the safety challenge to the Wellington runway extension.

The safety-related legal challenge revolves around the size of the 90 metre long Runway End Safety Area (RESA) being proposed for the runway extension. More>>


Environment Commissioner: We Need To Work Together On Climate Change And Farming

“The debate around agricultural emissions and the ETS has been polarised for too long,” said the Commissioner. “But the ETS is not the only way forward – there are other things that can be done.” More>>


NZ Super Fund: Seeking To Put A Market Price On Climate Change

Oct. 19 (BusinessDesk) - The New Zealand Superannuation Fund says it will devise a set of rules to assess investment winners and losers under climate change, a strategy that could rule out fossil fuels or producers such as current portfolio member Exxon ... More>>


Rejuvenation: Parata Will Not Contest 2017 Election

Education Minister and National List MP Hekia Parata has today announced that she will not be contesting the next election. She advised the Prime Minister of her decision earlier this year. More>>

Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news