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#1 acedumbunny

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Posted 02 May 2017 - 12:33 AM

I plan to update this post with a summery of information mentioned in the thread so people don't have to scroll all the way through to find the bit they want. Feel free to post any extra info you have or correct anything I may have wrong.

 

List of important (sometimes obvious, not all are required but can be useful) things when buying a house:

A deposit. I think it is currently around 20%

 

Income, to pay your mortgage, also there will be rates and insurance.

 

A house that is for sale

 

A mortgage broker, not a necessity, but can be quite useful. Feel free to shop around on them until you get one you like.

"Mortgage brokers are worth their weight in gold. They often get the best of the best rates and can give invaluable info about the market in the area." - Drunk_Monk

 

The LIM (More info here http://wellington.go...rty/reports/lim )

 

A builders report, this can help you back out if there are too many issues.

 

Kiwi Saver, not a necessity but they really like it if you use it to purchase your first home, May not be good depending on situation

 

A good real estate agent

 

Not be in Auckland or other major city, may be difficult, but they are cheaper out in towns no one has heard of.

 

Good credit rating.

 

If the house your looking at was built pre 1970s ish ask about the wiring or have it checked. 

 

A Lawyer

 

Don't skip a mortgage payment. If you are having trouble paying, check with the bank (assuming that's where you got the mortgage) to see if you can work out a different payment plan as they can be accommodating due to it being better for them for you to pay off the mortgage over a longer time than for you to not pay at all.

 

For a pre 70s house maybe also check for any rust pin holes not obviously visible on the roof,the age of the hot water cylinder,and aged black plastic underground water mains hosing on your property. - Sakuraba

 

Pretty sure I'm missing stuff, so just let me know so the list can grow.

 

 


Edited by acedumbunny, 26 May 2017 - 02:53 PM.

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#2 Falcone0

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Posted 02 May 2017 - 06:50 AM

If the house your looking at was built pre 1970s ish ask about the wiring or have it checked.

In regards to the income don't forget it doesn't end at the mortgage you still haves rates and insurance to pay as well.
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#3 Scuba_Steve

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Posted 02 May 2017 - 07:06 AM

I question the KiwiSaver thing, reports we were getting was that we were at an advantage for NOT using KiwiSaver; This may have been false info but we did hear it often


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#4 drunk_monk

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Posted 02 May 2017 - 07:34 AM

Kiwisaver got us our deposit and the extra 5k.

There is a little more paperwork for the lawyers though.

Mortgage brokers are worth their weight in gold. They often get the best of the best rates and can give invaluable info about the market in the area.
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#5 acedumbunny

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Posted 02 May 2017 - 08:42 AM

Updated, thanks.


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#6 Scuba_Steve

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Posted 02 May 2017 - 06:28 PM

Kiwisaver got us our deposit and the extra 5k.

There is a little more paperwork for the lawyers though.

Mortgage brokers are worth their weight in gold. They often get the best of the best rates and can give invaluable info about the market in the area.

That's true of good mortgage brokers.

I highly recommend seeing a few & going with who you feel most comfortable with, some can be as pushy as telemarketers & alot will push you towards the bank/company that gives them the biggest kickback not the one that'd be best for you


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#7 BigC

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Posted 23 May 2017 - 02:25 AM

Can roof paper fall down by itself over time? Or does this usually mean a leaky roof? Saw a 50 year old house that is going for auction in a few weeks and the agent gave out a builders report. Is this normal/trustworthy?
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#8 Scuba_Steve

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Posted 23 May 2017 - 07:03 AM

Paper can fall, its heavy and gravity, aging etc. if you have access to it shove ur hand up in behind it and feel the wood, even better if you can also see in behind it
Auctions have to provide builders reports as they are unconditional on a win thus you can't have the usual clauses (so make sure you have the money side sorted) the reports should be independent and as good as any other, there has been a case of dodgy ones from an Auckland realtor but generally they can be trusted as you would any you would obtain
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#9 BigC

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Posted 25 May 2017 - 12:11 PM

Totally forgot I wrote that message here haha.

 

Yeah hopefully it is just because the place is old. In the builders report, there were no signs of high moisture anywhere so I assume that is a good thing. 

 

I read about that dodgy realtor in Auckland. We have been to a lot of open homes over the last few months, and this is probably the most genuine and open agent we have seen.  We had been to a couple of houses were the agent couldn't answer much or knew nothing about the house they were selling. Made me consider trying it out as they made it look so easy!


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#10 womz

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Posted 25 May 2017 - 12:22 PM

I understand that lenders like to see a good savings history, but what does that actually mean?

I'm using my staff super to save for a deposit because I put in 4% and my employer puts in 9%. If I put in the same money into a savings account as I do into super I wouldn't even have half the money saved.

But I do still put away money into a christmas expenses savings account, $10 a week, and another $20 into a personal savings account

Is that going to be enough to satisfy a bank?
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#11 Falcone0

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Posted 25 May 2017 - 04:27 PM

If the house your looking at was built pre 1970s ish ask about the wiring or have it checked.

In regards to the income don't forget it doesn't end at the mortgage you still haves rates and insurance to pay as well.


Just as a bit more on this. If the house your buying has dodgy wiring and is of this age insurance can be very very hard to get if not impossible.
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#12 drunk_monk

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Posted 25 May 2017 - 08:20 PM

I understand that lenders like to see a good savings history, but what does that actually mean?

I'm using my staff super to save for a deposit because I put in 4% and my employer puts in 9%. If I put in the same money into a savings account as I do into super I wouldn't even have half the money saved.

But I do still put away money into a christmas expenses savings account, $10 a week, and another $20 into a personal savings account

Is that going to be enough to satisfy a bank?


If you have close to a deposit in thsy saving scheme then my recommendation would be to speak to a mortgage broker.

It's going to depend on how much you have and earn and spend, so saving is a good sign you are living below your means and can afford higher costs.

The mortgage brokers usually have bank based calculators where they can account for these things.

I had no savings but wasn't looking for big city money. Each market and individuals situation will vary but a free consult can let you know what you need to do, or if you just need to keep doing what you're doing.
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#13 womz

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Posted 26 May 2017 - 08:04 AM

I understand that lenders like to see a good savings history, but what does that actually mean?

I'm using my staff super to save for a deposit because I put in 4% and my employer puts in 9%. If I put in the same money into a savings account as I do into super I wouldn't even have half the money saved.

But I do still put away money into a christmas expenses savings account, $10 a week, and another $20 into a personal savings account

Is that going to be enough to satisfy a bank?

If you have close to a deposit in thsy saving scheme then my recommendation would be to speak to a mortgage broker.

It's going to depend on how much you have and earn and spend, so saving is a good sign you are living below your means and can afford higher costs.

The mortgage brokers usually have bank based calculators where they can account for these things.

I had no savings but wasn't looking for big city money. Each market and individuals situation will vary but a free consult can let you know what you need to do, or if you just need to keep doing what you're doing.

Sounds good. We currently have a touch over $45k and are looking at the Welcome Home scheme since you can do 10% deposit, but if a broker can get us a deal outside of that scheme then even better.

Just need my girlfriend to find a new job so we have 2 incomes again, no way we can do a mortgage + rates + insurance on my income alone
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#14 sakuraba

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Posted 26 May 2017 - 12:12 PM

For a pre 70s house maybe also check for any rust pin holes not obviously visible on the roof,the age of the hot water cylinder,and aged black plastic underground water mains hosing on your property.
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#15 womz

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Posted 21 June 2017 - 03:04 PM

my girlfriend has only just started her new job but we have enough for a deposit and are really keen on a place

we weren't planning on talking with a broker or bank until she had done 3 months in her new job, but do you reckon it might be worthwhile to make an appointment now?
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#16 Falcone0

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Posted 21 June 2017 - 04:55 PM

having knowlegde cant hurt


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#17 womz

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Posted 21 June 2017 - 05:13 PM

that's what I was thinking too, at least we'll know where we stand and what we need to do

also wondering if anyone has experience with NZ Home Loans? A former colleague of mine works for them and he's saying they can knock 5+ years off a mortgage. I see they're owned by Kiwibank which is who we bank with
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#18 Scuba_Steve

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Posted 21 June 2017 - 06:41 PM

that's what I was thinking too, at least we'll know where we stand and what we need to do

also wondering if anyone has experience with NZ Home Loans? A former colleague of mine works for them and he's saying they can knock 5+ years off a mortgage. I see they're owned by Kiwibank which is who we bank with

Can't speak for NZ Home Loans but if you're looking for a broker I can highly recommend Rule Financial Services


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#19 drunk_monk

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Posted 21 June 2017 - 07:15 PM

that's what I was thinking too, at least we'll know where we stand and what we need to do

also wondering if anyone has experience with NZ Home Loans? A former colleague of mine works for them and he's saying they can knock 5+ years off a mortgage. I see they're owned by Kiwibank which is who we bank with


I'd be cynical about a mortgage broker owner by s bank. But you could see them and another.

See a broker sooner rather than later. Can't hit a goal efficiently if you have no ides where the goal is.

Plus there is no commitment so they can answer your questions and you have nothing to lose.
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#20 womz

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Posted 21 June 2017 - 07:37 PM

cheers Scuba will put them on the list to check out

we're thinking see 2 or 3 brokers, direct with the bank, and after doing research on NZ Home Loans might give them a miss as sounds like I can do the same with the bank direct for lower interest
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