Have mortgage questions?

Fixed rate mortgage

Your interest rate is locked in for a set period, giving you certainty over your repayments. Break fees may apply if you repay the loan early or sell your property during the fixed term.

Floating mortgage

A flexible interest rate that moves up and down with the OCR and bank rates, giving you the freedom to make extra repayments without break fees.

Revolving credit

Works like a large overdraft attached to your home loan — you only pay interest on the balance you're actually using.

Offset mortgage

Links your savings or everyday accounts to your mortgage, reducing the interest charged based on your offset balance.

Interest-only mortgage

Repayments cover interest only for a period (usually up to around 5 years) and typically requires 20–30% deposit or equity.

Most banks let you choose to make repayments weekly, fortnightly, or monthly, depending on what suits your budget and pay cycle.

Tip: Aligning your repayments with your payday can make budgeting easier, and paying more frequently can save you a bit of interest over the life of your loan. Our repayment calculator will show you the difference.

A pre-approval is a formal indication from a lender of how much you're able to borrow, subject to meeting their final conditions. It's free to get and gives you confidence about your budget when house hunting. Pre-approvals are typically valid for around 3 months and can often be extended if needed.

More about pre-approval

A Mortgage Adviser acts as the intermediary between you and the banks or other lenders. We work out your borrowing capacity, negotiate interest rates on your behalf, structure your loan to suit your situation, and manage the application process from start to finish. Our service is typically free to you, as we're compensated by the lender once your loan settles.

Beyond your deposit, it's worth budgeting for solicitor or legal fees (typically $1,500–$3,500), a registered valuation (around $1,000) if your lender requires one, and a building inspection (around $700). We generally recommend keeping a buffer of around $4,000 on top of your deposit to cover these costs.

If you need to borrow more than 80% of your new home's purchase price, banks will typically add a small surcharge — known as a low equity margin — to your interest rate. This margin usually ranges from 0.25% to 0.35% for loans between 80%–85% LVR, and can climb to around 0.75% if you are borrowing between 85%–90% LVR.

How do I get rid of it?

Build equity: The margin stays on your loan until you've paid down enough principal, or your property's value rises through renovations or market gains, bringing your total loan below 80% of the property's value.

Watch the timing: With most lenders, you can only request to remove the margin once your current fixed rate term ends. Breaking your fixed term early to remove it could trigger early repayment fees.

Looking at a new build? Depending on the lender, you might be eligible for a better offer or a waived margin.

In most cases, banks require a deposit of at least 20% of the purchase price. If you qualify for the Kāinga Ora-backed First Home Loan, you may be able to purchase with as little as a 5% deposit. Your deposit can come from savings, KiwiSaver, or a gift from family — we can help you work out the best combination for your situation.

Yes — if you've been a KiwiSaver member for at least 3 years, you can withdraw most of your savings to put towards your first home, as long as a minimum of $1,000 remains in your account and the property will be your main home. Previous homeowners may still qualify for a “second chance” withdrawal by obtaining a qualifying person letter from Kāinga Ora.

More about our KiwiSaver advice

Since July 2024, DTI restrictions generally limit how much you can borrow relative to your income — typically up to 6 times your gross annual income for owner-occupiers, and 7 times for investors. Banks are allowed to lend above these limits to a small percentage of borrowers. DTI sits alongside your deposit and everyday serviceability (what you can actually afford to repay) when a lender works out your maximum loan amount.

LVR compares the size of your loan to the value of the property — so a smaller deposit means a higher LVR. The Reserve Bank restricts how much banks can lend to borrowers with a high LVR, particularly investors, and these settings are reviewed from time to time. We keep track of the current LVR settings and can talk you through how they might affect your borrowing options.

Fixing gives you certainty over your repayments for the term you choose, while floating (or a short fixed term) gives you flexibility to make extra repayments or refinance without break fees. Many borrowers split their loan across a mix of fixed terms, or combine fixed and floating, to balance certainty with flexibility. The right approach depends on your goals and how rates are tracking — we're happy to talk through the options with you.

Your bank will usually contact you before your fixed term expires with a new rate offer. If you don't take any action, your loan will typically roll onto the bank's floating rate, which is often higher. This is the best time to review your whole mortgage — not just accept the first rate you're offered — as you may be able to get a better deal, restructure your loan, or switch lenders.

More about refinancing

Yes, though lenders usually ask for more documentation — typically around 2 years of financial accounts, confirmation from your accountant, and IRD income summaries. Lenders vary in how flexible they are with self-employed applicants, so it helps to work with an adviser who can match you to the right lender for your situation.

More about specialised lending

Generally you'll need photo ID, your last 3 months of bank statements, recent payslips (or financial accounts if self-employed), proof of your deposit or savings history, and details of any other debts or credit commitments. We'll let you know exactly what's needed for your situation and can help you get everything together before you apply.

Pre-approval can often be arranged within a few days once your paperwork is complete. From an accepted offer to an unconditional or settled loan typically takes around 2–4 weeks, depending on your lender, valuation requirements, and any conditions on your offer. Building finance or more complex applications can take longer, so it pays to start the conversation early.