Whether you’re a new resident to New Zealand or an ex-pat returning to our shores, a big part of your relocation is establishing a new home. For many, renting may seem the easy option.
The New Zealand property purchase process is very different to, the UK and USA and may seem confusing. But what if you had a coach in your corner with a clear path and a plan? What if you had an experienced financial adviser who used to work for the biggest NZ bank, knows not only what you need to do, but how to get you there?
If you’re now thinking that owning might just be possible, you’re bound to have a LOT of questions. Here we outline the most common questions that My Money get in this situation. We’ve included some high-level general answers as a guide, but this is not financial advice, and the best thing is to chat to us to discuss your personal situation.
1. What documents would I need to have to be able to apply for finance?
There is a list of common documents required but others you may not have realised are needed. And they need to be less than 36 months old. We can tell you what you need to provide.
2. Do I need to be a permanent resident?
The rules for permitting finance to permanent residents do differ from those for a resident, but this doesn’t mean that residents can’t get finance. It’s not simple, but under certain circumstances it can be done.
3. Do I need to have all my money in NZ and in a NZ bank?
No, you don’t. You do need to have your finances structured in the right balance of onshore and offshore and we can help you navigate exchange rate fluctuations to maximise the deposit funds available in your situation.
4. What is the best way to get my money into NZ?
There are a number of options to move funds internationally and it’s important to transfer your money the best way so you can maximise your deposit and give yourself a strong financial position. This will depend on where your money is banked and the amounts.
5. Do I need to move my Super to NZ?
Moving your Super can be quite complex, and the rules vary greatly between countries around who is allowed to, and when your Super can be transferred. In addition, you may not need to move it to get a mortgage.
6. How long do I need to be working in NZ before I can buy?
You may think you need to have been working in NZ for years before you can buy. It depends on each person’s circumstances how long this is before finance becomes an option.
7. Can I buy if I’m just a Contractor or do I need to be a permanent employee?
Most people assume that you must be a permanent employee to get a mortgage but surprisingly it is possible for Contractors to get finance under certain circumstances.
8. Do I need to already be in NZ to get your advice?
Although based in Auckland, we work via Zoom with many of the My Money clients, so you don’t need to wait until you’re in NZ to engage us and start the process.
9. What is the process? When do I get a lawyer or a building inspector?
This Mortgage Application Flow Chart shows you the high-level process for obtaining a mortgage. However, when you’re new to NZ terms like “LIM” won’t be familiar to you. We have an established network of trusted professionals that we can match with you, so you have the right team around you supporting you every step of the way.
The New Zealand market and lending criteria are quite different to other countries even Australia. Don’t assume anything as the process and criteria is likely to be different to what you’re expecting. Make sure you know how things work in NZ and what the rules and criteria are as well as how they could apply to you. You don’t need to work it all out yourself, you can get personalised financial advice from an expert who can tell you exactly what your options are.
Although it isn’t simple getting finance when you’re new to New Zealand, it can be possible. There are numerous aspects that need to be factored to give you the best outcome when applying for a mortgage, so expert advice is crucial. Why not see what is possible for you by contacting us today.