Home Lending

We can advise on pre-approvals, new purchases, bridging loans or refinances.

Whether you are a first home buyer, a small-time or experienced property investor, or looking to refinance, we can provide advice and seek approval to meet your requirements. Our aim is always to have a positive effect on your finances and other financial needs. If I feel for any reason we cannot add value, we can usually let you know within the first interaction.

Feel free to spend 10 minutes registering and completing some basic information we will require via our online application. Once this very simple form is completed online it will be more efficient and easy to converse as we immediately have access to this important data via an interactive portal.

Property purchases

First home buyers

Buying your first home is exciting, the prospect of a place that is truly your own.

We are that passionate about first home buyers, we officially partnered with First Home Coach (https://www.firsthomecoach.co.nz/), a professional platform including an available app software, that can materially help with this journey.

Therefore, you could say we are experts that value assisting first home buyers in what can be a minefield of information.

Our advisers can assist you with:

  • Calculating affordability
  • Find the best bank for you (or non-bank if main bank criteria isn’t met)
  • Seek pre-approval
  • Give you step-by-step guidance (we can refer you to our network contacts too)
  • Do as much of the ‘heavy lifting as we can with your application
  • Help you get up to 95% LVR (5% deposits for Kāinga Ora lending only)
  • Negotiate pricing with our genuine efforts to obtaining you the best terms
Investment properties

You may have a property or several, or you may even be a first home buyer wanting to buy an investment property.

Whatever the case, we are here to support you and provide expert advice and more.

Our advisers can assist you with:

  • Calculating affordability
  • Find the best bank for you (or non-bank if main bank criteria isn’t met)
  • Seek pre-approval
  • Give you step-by-step guidance (we can refer you to our network contacts too)
  • Do as much of the ‘heavy lifting’ as we can with your application
  • Indication of how to structure your mortgage for maximum tax deductibility (we will provide advice to seek qualified tax advice on our recommendation)
  • Seeking approval for interest-only deductions
  • Borrowing up to the maximum loan to value ratios (LVRs) for new builds and existing investment properties
  • Negotiate pricing with our genuine effort to obtaining you the best terms
  • Alleviating mortgagee saturation risk with using different mortgagees (banks) where appropriate and suitable

In a nutshell, with any purchase, we’ll give you professional advice on what you can borrow, your mortgage structure, and the most competitive lending package we can recommend. We’ll manage the process of obtaining finance with the banks and can work with your lawyer, accountant, estate agent, and any other professional or authorised party to achieve the result you are seeking.

Refinancing

What can we do for you?

Apart from the fundamental obtaining paperwork and managing the process we can:

  • Assess your current structure and situation
  • Consider what your bank versus what other banks can provide
  • Provide specific advice on the best mortgage structure and bank for you which may allow for:
    • Saving money on interest rates (due to our negotiation)
    • Advising on a financial upside apart from just interest rate differences
    • Finding the best bank for you (whether that be staying with the incumbent or switching to a new bank)
    • Paying down your mortgage down quicker
    • Finding a more flexible structure for you
    • Renovation, or other top-up funding needs (for example a car purchase)
    • Advising on seeking advice on certain areas like legal asset protection or tax matters that we may identify but cannot advise on professionally ourselves

Construction finance

Whether it be for a new build, or major construction, or a more complicated demolition job, we can help.

There are so many different types of ways to contract a build or renovation. Here are your typical candidates:

  • Fixed-price contracts
  • Turn-key contracts
  • Buying off-the-plans (which are typically turn-key)
  • Labour only contracts
  • Factory-built houses or “prefabs”
  • Relocatable dwellings (to move to a site and connect)

We’ll manage the finance process for you. We’ll ensure you get the best lending arrangement for your situation and provide expert advice based on your scenario.

It is completely normal to be a bit lost with construction loans, one of our friendly team can provide professional advice to help you on your journey.

Non-Bank Lending

Have you been turned down by the banks? Need an expert opinion on whether you are likely to meet bank lending criteria before wasting hours of your time?

There is a growing market for Non-Bank lending institutions.

The main banks can take a conservative lending approach to certain risks within lending applications. This does not mean you are necessarily unworthy of borrowing money; it may mean that alternative lending options are required to be sought.

Here are some examples of non-bank lending applications, where main bank options are unlikely to be available:

  • Bridging finance where there is no guarantee of repayment of lending and thus proving satisfactory servicing becomes a real issue. We call this ‘open-ended bridging’ and although it can be convenient to buy first, and then sell your property, it may come as a surprise that even though your ‘end position’ works well within bank criteria, the fact your existing property is not in fact sold (unconditionally) at the time you purchase or wish to, the bank could make this challenging if not impossible to obtain approval. We take a pragmatic approach by looking at whether we can try the banks and will produce a well-presented file for their consideration. We will also discuss what non-bank options may exist.
  • If you are newly self-employed (have less than two years’ worth of formal financials), or possibly you have had a blip year (have earned materially less than in previous years) you may struggle to have finance approved by a mainstream bank. We will look at alternatives.
  • If you are asset rich and cash poor and wish to raise finance, you will probably need a non-bank lender to provide approval.
  • You may have a credit rating impairment such as resolved or unresolved credit adversity. You may be discharged from bankruptcy or gone through a non-asset procedure. This list is not exhaustive. The banks tend to take a hard line on credit impairment issues, even ones that are repaid that could have been a few years ago.
  • You may not have an indefinite returning resident’s visa for New Zealand and seek a low equity loan.
  • Tax debt. Many self-employed Kiwis (in particular) may find themselves in situations where they owe the IRD money and therefore will want to borrow money to clear the debt. It can work out less costly to borrow money from a non-bank as opposed to paying IRD penalty interest and fees. People can end up having debt with the IRD for a number of reasons and we recommend consulting with your accountant or other qualified tax professional for guidance in managing tax obligations.

We have access to a variety of non-bank short and longer-term lending solutions and are passionate about finding you the right option for you. The really important part is that skill and diligence are exercised that the option(s) is right for you, as an inferior solution may end up costing a dramatic additional amount.

An ‘Exit strategy’ is also an integral part of this conversation with an adviser that has your best interests at heart or if the solution is a long-term solution, then understanding this upfront. Your finance arrangement may only sit with a non-bank lender for a relatively short time. We can approach a bank when and if you meet their criteria.

If upfront fees are applicable we will discuss with you as part of our Nature & Scope of Service process, at the initial stages of engagement.

I have access to a variety of Non-Bank lending options to get you the finance you need. Your finance arrangement may only sit with a Non-Bank lender for a short time and then we can approach a bank when you meet their criteria. You may need the finance to tide you over until you sell. You may not have an indefinite returning resident’s visa for New Zealand and seek a low equity loan. We can work together for the best finance options at the time.

Getting you Finance

Through a Main Bank is Always the Priority, if it is Viable.

Re-fixing

Finance speaking, this is a pivotal moment and dealing with your current bank only provides an option with your current bank! Here’s the real kicker. We know on any given week what the best rates are in the market as we deal with all the banks; how could your existing bank possibly profess the same?

5 Things To Consider When

REFIXING YOUR MORTGAGE

1

Do you have spare savings that you could pay down your mortgage with?

2

Are you likely to sell your house before your refix is due to mature again?

3

Can you make additional payments to your mortgage?

4

Which direction do you think interest rates are headed?

5

How much trouble would you be in if interest rates jumped by quite a bit (e.g. 2%)?

The team at RSFA will look pragmatically at what is best for you, and not your current bank. It may be that we recommend remaining with your own bank – advice is key, and we do not charge for the service. We welcome new and existing clients to contact our friendly team.

In summary, we can assist with:

  • Obtain some basic information from you (see form below which is being currently created and in the meantime please email support@rsfa.co.nz to discuss)
  • Work with you to establish your needs and areas of advice required
  • Seek the best pricing from your existing bank as well as advise on other market pricing – we will be fully communicative within this process
  • Make a plan consultatively where we ultimately would want to achieve a value add result from our perspective, which may include a better rate being negotiated with your bank or a refinance to another bank to acquire a financial outcome in your favour. Whichever the case, we will look to add value alongside this with sound and pragmatism in the financial advice we provide
  • We will look to manage your re-fixes moving forward provided you agree, and for that, we will work hard and diligently to gain your ongoing business
  • Note, most banks allow you to fix up to 60 days prior to your fixed rate renewal. We therefore highly recommend being in touch 3 months prior to the renewal of your fixed term for these reasons:
    • We are at record low interest rates in 2021 and there are possible rate rises expected
    • By contacting 3 months out we can spend time working with you and obtaining bank(s) approval with the view to locking in terms 60 days (2 months) out from the expiry of your fixed term which may save you materially by ‘getting in’ before potential interest rate rises closer to the expiry of your fixed term
    • Banks are taking longer to process loan applications in general and it is not advised to deal with this at the last minute which may mean you feel forced into taking your existing bank’s offer without the considered opportunity of a better deal or more time to negotiate with the incumbent or spending time on floating while you wait for a process to ensure to refinance your lending, which may erode some of the savings in relation to our advice

Home Equity Loan

(aka Reverse Mortgage)

You might look at your equity in your home like this

If you are 60 and above and have equity in your home, you may qualify for a Home Equity Loan (also known as ‘Reverse Mortgages’). Please Contact Us for further information.

When was the last time you reviewed your house insurance or other general insurances? Are you paying too much or not adequately covered? Check out our Fire and General Insurance section. This section includes some tips and general information. If you would like free and no-obligation quotes and specialist advice at the same time as your Home Equity Loan is being considered, please mention this when contacting us.

Asset Finance

Coming Soon.