Official Cash Rate remains unchanged

By WMB Admin In Uncategorized No comments

The OCR (Official Cash Rate) remains unchanged and appears it could remain on hold for some time. This is good news for borrowers and probably indicative that 1, 2 and 3 year rates seem to be the most popular. Now is still a good time to be ensure that you have the best loan structures […]

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Don’t rely on the bank valuing your loyalty

By WMB Admin In Uncategorized No comments

A common issue we often encounter is when clients buying a property have an offer accepted but have just hung their hat on their own bank approving the loan, only to find that after a lot of waiting the bank they have been dealing with has declined their application. Inevitably they have then run out […]

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Tougher scrutiny of borrower’s spending on the horizon

By WMB Admin In Uncategorized No comments

Last week I attended an Australian industry broker conference in Sydney. It was interesting to see the level of change happening in the lending environment over there where approx 55-60% of the market use a broker. One thing to come out of the Royal Commission looking into banks’ lending practices was a closer scrutiny of […]

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LVR restrictions may become permanent

By WMB Admin In Uncategorized No comments

New Reserve Bank governor Adrian Orr has indicated that the current LVR restrictions enforced on the banks as a lending ‘speed limit’ may be a permanent tool going forward. The recent uptake in first home buyers being a large part of the market (especially in Wellington) has lead to the Reserve Bank potentially looking at […]

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Interest Rate Update

By WMB Admin In Uncategorized No comments

Major banks short-term rates have been quite low recently and it can be easy to get swayed by what appears to be cheap rates e.g. 4.35% 1-year specials. It’s not unusual for banks to be aggressive on rates at busy house buying seasons. Even HSBC specials well below market come with conditions hidden in the […]

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Improve your home loan approval chances with these tips

By WMB Admin In Uncategorized No comments

1. Watch your bank statements! Close any accounts you hardly use and make sure you don’t go into unauthorised overdraft. Banks like to see a clean 3-6 month history of tidy accounts where there has been no unauthorised excesses (overdraft), bounced APs/DDs. 2. Speak to your mortgage broker about everything that is required and be […]

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Changes in lending policy for 2018

By WMB Admin In Uncategorized No comments

As we lead into Xmas there are some changes in the lending world to be wary of for January 2018. The Reserve Bank recently relaxed the restrictions slightly, and the major banks have now started making changes to their policy. For stand alone residential investment properties you can now obtain finance with 65% LVR and […]

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Lending restrictions set to ease early 2018

By WMB Admin In Uncategorized No comments

The Reserve Bank has today announced a ‘modest’ easing of Loan to Value Ratio (LVR) restrictions from early 2018. From 1 January, banks will be able to loan up to 15 per cent of their mortgage lending to owner occupiers with a deposit of less than 20 per cent of the value of the property. […]

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How to avoid finance falling over on your property deal

By WMB Admin In Uncategorized No comments

There has been some interesting articles this week relating to property deals (it appears mainly attributed to Auckland) falling over at the last minute due to finance. The articles implied buyers had finance pre-approved, but when it got down to the offer agreement, the banks were pulling out or asking for valuations. In the current […]

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OCR held at 1.75% for fifth time

By WMB Admin In blog No comments

The OCR (Official Cash Rate) remains unchanged again, at 1.75%, for the fifth consecutive review. “Monetary policy will remain accommodative for a considerable period. Numerous uncertainties remain and policy may need to adjust accordingly,” said Reserve Bank Governor Graham Wheeler. “Growth is expected to improve going forward, supported by accommodative monetary policy, strong population growth, […]

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