We’ve hit 2020! But today we’re talking about 80:20, or more how you can use the 80:20 rule (alongside other financial information) to help you join the property ladder.
Overview
From finance options to KiwiSaver, putting down your deposit to pre-approval of your first home loan, our Financing your First Home eBook, will help you step out on the journey to home ownership.
Want to know more? Here’s what we look at in our eBook.
Finance options
Understanding your Loan-to-Value (LVR) ratio is the first all-important step to understanding your financial position. Your LVR, also known as the 80:20 rule, affects the amount a lender can lend to you, and the interest rate you will receive. In our ebook, we’ll help you understand how 80:20 can create a 20:20 look into your finances.
How can KiwiSaver help?
In New Zealand, we’re fortunate to have schemes such as KiwiSaver, which incentivise saving with an added bonus or two.
Firstly, your KiwiSaver contributions can be used alongside your employer’s contributions and the government’s incentive, to help you pay for the deposit on your first home. These untouchable accounts make saving easy and help you to become eligible for the HomeStart Grant. Discover how the KiwiSaver HomeStart Grant offers eligible contributors a cash incentive towards their deposits.
Home loans
Your home loan, or mortgage, is the amount you need to borrow from your preferred lender. While your lending provider will talk you through your options, it is a good idea to know what different types are available ahead of making that all-important decision. From table loans, revolving credit, reducing loans and interest only, we discuss the different types of options available, and who would benefit from which lending method.
Pre-approval of finance
Pre-approved finance is the amount you have been pre-approved by a lending provider to borrow towards your first home – effectively showing you how much you can afford. Preapproval helps you understand the amount you can borrow and shows sellers you’re a serious buyer. Find out how you can get pre-approved.
How Lugtons can help
Once you have pre-approved finance and your budget in-hand, contact one of our qualified real estate salespeople. At Lugtons we can talk you through the next stage of the home buying process. With the know-how and can-do attitude, training and experience, we can help you on your journey into home ownership.
To find out more on how you can finance your first home, download our latest eBook.