Loan Application Documents
Photo ID – Passport or drivers licence with signature – this signature will need to match all future signed documents.
3 most recent and consecutive payslips – further information may be required if you receive bonus payments, you are self employed or you receive casual income.
3 months all bank statements – we have a secure link we can send you where your statements will be sent to us directly.
6 months for any loan statements
3 months statements for any Buy Now Pay Later facilities
Signed Declaration (available when putting together an application)
Draft Sale and Purchase Agreement (if applicable)
Lenders can require further information through the application process, we will be in touch with you along the way to make sure we have everything they require.
How to put yourself in the best position when purchasing a new home
Buying your new home is a big step, and getting your finances in order can make the whole process much easier. Here’s how to put yourself in the strongest position when you’re getting ready to apply for a home loan.
1. Build a Strong “Character” as a Borrower
Your character is about your financial habits and how reliable you look to a lender. The lenders you apply to will look at your account conduct ensuring you don’t have any defaults on your accounts due to missed payments or unauthorised overdraft fees.
Start building (or improving) your credit history: Pay your bills, credit cards, and any existing loans on time. Even small things like phone plans can help show you’re responsible.
Be honest and organised: Have clear records of your income, expenses, and any debts. Lenders appreciate transparency—it shows maturity and trustworthiness.
Show good financial management: Meeting with an accountant, lawyer, or financial adviser helps you understand the process and proves you’re taking your financial decisions seriously.
2. Show you are able to “Service” a Mortgage
Being able to service a mortgage is ensuring you’re able to make the repayments comfortably.
Maintain steady income: A stable job and regular income help lenders feel confident you’ll meet your repayments.
Keep your debt levels low: Try to pay down personal loans, Buy-Now-Pay-Later balances, and credit cards. A lower debt-to-income (DTI) ratio makes you look much stronger.
Know your numbers: Use mortgage calculators to see how different loan amounts and interest rates affect your budget. Make sure you still have enough money left for everyday life and savings.
3. Build your savings
The banks like to see consistent savings activity in your account. This doesn’t need to be huge amounts, but to show you are able to put money aside and save, can help when the banks assess your application.
The more you save, the better. A bigger deposit reduces your repayments, may lower your interest rate, and shows commitment. This can be from savings in your bank account, or by using your KiwiSaver.
4. Aim for the Best Possible “Conditions”
Conditions include the type of loan, interest rates, and overall market environment.
Compare banks and lenders: Each lender has different rules and offers. We are able to send off your application to different lenders as their lending amount, interest rates and cash incentives can vary, as well as the conditions they may need you to satisfy before the confirm your lending.
Get pre-approval: Before you start making offers, get a pre-approval. It tells you exactly how much you can borrow and makes you more confident when house hunting as you have more of an idea on what your price-range is.
Get help from experts: We work with you to make this process as smooth as possible, and help breakdown the financial jargon so you know exactly what is going on. Along with our services, we can help put you in touch with other professionals you may need help from, such as Real Estate Agents and Solicitors.
When purchasing a new home, the key is preparation. Build good financial habits, keep your debt low, save steadily, and get the right advice. When you show lenders that you're responsible, organised, and ready, you’ll be in a much better position to secure a home loan.
Understanding the deposit
When purchasing property a new property, you will probably notice you are asked to pay 2 deposits – the bank deposit, and the purchase deposit. There is always some confusion around these and if they are the same thing. In short, no, they are not.
Let’s explain what each of these deposits mean, and how they impact your property transaction.
The Bank Deposit
The bank deposit is not a payment you make directly to the bank. Instead, it’s a requirement that the bank uses to assess how much they’re willing to lend you for the property purchase.
Purpose: The bank deposit reflects the amount of savings or equity you have toward the purchase and helps the bank determine your loan eligibility. Typically, banks will require between 10% and 20% of the property’s value as your deposit to qualify for a home loan, however in some instances this can be less. This deposit can be taken from your savings, KiwiSaver, gifted funds or equity in a property you already own.
Example: If you’re purchasing a property worth $500,000, the bank will want to see that you have saved $100,000 as a bank deposit (based on a 20%deposit). This amount is not paid to the bank, but it demonstrates your financial commitment to the property purchase. This is your contribution to the property purchase.
The Purchase Deposit
The bank deposit is not a payment you make directly to the bank. Instead, it’s a requirement that the bank uses to assess how much they’re willing to lend you for the property purchase.
Purpose: The purchase deposit can be paid at different times, but typically payment is made when the Agreement for Sale and Purchase is unconditional. As stated above, this deposit amount is normally 10% of the purchase price, however it can be any amount as agreed with the seller.
Example: For a $500,000 property, you might pay a 10% purchase deposit, which equals $50,000. This sum is paid once you have confirmed the Agreement for Sale and Purchase, and is paid using KiwiSaver funds, savings, or gifted funds.
How does this work with your deposit exactly?
The total deposit you have as contribution to your property purchase will be paid in 2 parts.
Example: You have $100k deposit to purchase a $500k property. Once your purchase is unconditional, you pay $50k (10%) to the Real Estate Agent’s account to secure the purchase.
On settlement, the remaining $50k from your deposit will be paid into your Solicitors account which is when the property is officially transferred to you.
Real-World Scenario
Let’s say you’re buying a property for $650,000 in New Plymouth, and you have a 20% deposit of $130,000. This means the amount you will need to borrow from the bank is $520,000 ($650,000 - $130,000).
Purchase Deposit
Once you have confirmed the Agreement for Sale and Purchase, you will pay a 10% deposit to the seller to secure your intent to buy, which equals $65,000.
Balance
Based on the purchase price of $650,000, you have used $65,000 from your deposit as the purchase deposit. You will then use the remaining $65,000 to pay on settlement.
Purchase Price $650,000
Purchase deposit $65,000 (paid to confirm purchase)
Bank deposit $65,000 (paid on Settlement)
Total lending amount $520,000
Understanding the difference between a bank deposit and a purchase deposit is crucial when buying property in New Zealand. The bank deposit is an assessment of your financial commitment and is required by the bank to secure a loan, while the purchase deposit is the actual amount you pay to the seller to confirm your intent to buy.
The Bank Deposit
You have a 20% deposit to put towards the purchase of your new property of $130,000. This can be made up of your KiwiSaver funds, savings, gifted funds, etc.