Contact An Adviser Today Or Get Started Online
Business Owners and Sole Traders
Home loans for the self employed can be difficult to gain an approval. Knowing what the banks want can help you overcome this hurdle. If you are a sole trader you will also fall into this category.
Individuals that are self employed are required by most major banks i.e, ANZ & BNZ to provide a minimum of 2 years full financial statements. All previous and current IRD tax obligations should also be up to date.
Full financial statements often hold more merit if they are done by a chartered accountant. If you are someone that doesn’t use an accountant the banks may request a receipt of your IR3 & IR10 for a sole trader or IR4 & IR10 as a registered company.
My business has 1 year Of full financials
1 year of full financials may be an exception to the rule for major lenders. Your previous and current net profit earnings, future forecasted revenue, business stability and industry are all factors that to be considered.
I don't have 1 year of full financials
There are no exceptions for major banks to consider this timeframe of business activity. However, several non-bank lenders may accept an application if a minimum of 6 months GST receipts are provided as proof of income. Non-bank lenders are becoming a popular option with interest rates starting from sub par 4%.
See our ‘Bank Said No’ page for more non-bank information.
What If My Net profit does not look strong?
Major and Non-Bank lenders may allow us to ‘add back’ certain expenses you have written off to increase your application’s net profit. These expenses include home office, interest on loans and depreciation.
If the net profit after the ad backs still does not meet the serviceability criteria of the lender, your application may be turned down.
Contact us if you would like further clarity, or to run through a quick serviceability calculation of your scenario.
Benefits of Getting Your First Home With Moose
Mortgage rates are constantly changing in today’s market. Broker departments in banks are known for providing competitive interest rates upfront for mortgage advisers
Fixed, floating or variable? 5 or 30 year loan term? Understanding your goals and situation can help us to structure your mortgage, allowing you to pay it off faster but still have the flexibility and freedom to live well
We specialise in self employed applications that requires out of the box thinking. Being able to interpret profit and loss, balance sheets, aged and current receivables and cash summaries allows us to provide good advice for our clients
Our online application system allows you to create your own MOOSE account, and input your information without the hassle of tiresome paperwork. Once it is all uploaded, we do all the running around so you don’t have to
If you are applying for a Top Up up with a major bank there is no fee for our service. The major banks will cover our costs on your behalf as long as your new loan stays in place with them for a minimum of 27 months. This reduces your outgoings during the buying process
Re-explaining yourself can be frustrating when the last banker has moved on. We document all our client conversations and advice so we are always on the ball. You can depend on us to be there for a small Top Up, annual mortgage review, loan re-fix, refinance, or a new property purchase
Why Should I Use A Mortgage Adviser?
If you are applying for a home loan with a major bank there is no fee for our service because the banks will pay us. However, this applies only if your loan is in place with that lender for a minimum of 27 months. For non-bank applications there may be an adviser fee of up to 1% of the loan if the lender doesn’t pay us on your behalf. An additional fee of 1 – 2% may be charged as an establishment fee for the lender.
Moose is accredited with a large variety of major & non-banks. This enables us to provide our clients with non-biased and reliable solutions.
A non-bank is a great short term solution to get the job done. Some non-bank lenders require a minimum commitment of 24 months if the lender has paid the adviser a fee on your behalf.
If you have paid the adviser & lender establishment fee yourself, 3 – 12 month lending timeframes can be negotiated. This is a great option for those that are property trading or looking for flexibility.
Yes, as long as you meet the first home withdrawal criteria you will be able to use your Kiwisaver towards your property purchase.
A good loan structure should be prioritised over interest rates. The right structure could be reducing your mortgage by hundreds of thousands of dollars over the life of your loan. Everyone’s earning capacity is different.
People that earn wages, bonuses, or commissions should ask themselves, can I pay back more than my minimum repayments? If so, how much more could I pay off annually?
Understanding your goals allows us to create a structure which gives you the freedom to pay off more than your minimum repayments, without paying more interest.