With stories of house prices getting further and further out of the average person’s reach, you may think that you’ll never be able to get on to the property ladder. Luckily Rosie Glasgow Home Loans in New Plymouth is here to help.
We’re lucky in Taranaki that our housing prices haven’t gone through the roof like they have in Auckland. And the sooner you do invest in a home, the more money you’ll save in the long run.
Yes, buying a home is the biggest investment you’re ever likely to make, but the advantages are priceless. The stability and security of having your own roof over your head, the chance to put down roots and create your very own castle. Not to mention the savings you’ll make on rent, are all great reasons to take the plunge. Buying property is still a sound financial decision and its time you got on board!
So how much money do you need to buy a home? The Loan to Value Ratio (or LVR) is the amount of money a mortgage lender will give against the value of the property. Generally speaking, in order to secure a loan, a borrower must already have at least 20% deposit.
This may seem like an astronomical amount to save but there is good news.
The Reserve Bank has given lenders the option to be able to lend up to 90% to residential borrowers who plan to be owner occupiers. The drawback is that this LVR is limited to just 10% of the bank’s overall mortgage lending. In other words, only a few borrowers will be able to get that 10% deposit rate. This restriction is called a speed limit and it’s there to help protect investors and the banks if there’s an economic downturn.
As well as having excellent knowledge of the local property market, Rosie Glasgow Home Loans carefully monitors which lenders are still within their speed limit, so that you can take advantage of that 10% deposit rate. This will help you get into your own home faster and will ensure your application gets to the right lender. There’s no wasting time looking for the lender who can help you because Rosie Glasgow Home Loans has already done the groundwork for you.
So, if you’re thinking of buying your first home, make an appointment with us. We will ensure you get the very best lender for your situation, with a price structure that suits and a payment plan you can afford. And of course, we’ll be able to find those lenders who are able to give you a 90% mortgage on your home.
It’s not impossible to take that initial step on to the property ladder and secure your first home. All you need is a bit of careful planning and Rosie Glasgow Home Loans. Contact us now for a no obligation appointment and find out what we can do for you.