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Getting Low Deposit Mortgages For AXIS Homes | April 2017 Update

There has been a lot of posts and comments on Facebook and other social media about problems getting low deposit mortgages for AXIS Homes and the information is probably going to frustrate those looking for finance.

We saw this post on Facebook yesterday which prompted this;

Just wondering if anyone here can please recommend a good mortgage broker?
Even better if they have dealt with Axis homes. We have been waiting to hear something from the one we are using and have been in contact since Jan/Feb and still don’t have any answers despite me chasing every few weeks.

I expect that the reason we are seeing so many posts and comments is that getting finance has become harder.

It was interesting to see the comments and recommendations given to this person too. While I would hope that most mortgage brokers are good at what they do, unfortunately many have very little experience with dealing with AXIS Homes and while a few months ago that would not have been an issue, the banks are now making it harder to finance AXIS Homes.

Getting the right finance for any new home is important, but when finance is hard to get it limits your options and therefore becomes even more important.

About AXIS Homes

Most of the homes at Hobsonville Point sell ‘off the plans’ including the Axis Series homes which are homes designed specifically for first home buyers and at this stage are only available in Hobsonville Point. We know that HLC are developing in Northcote soon and understand that they will also be available there due to the success of AXIS Homes in Hobsonville Point. There is also talk about HLC working on other developments so we expect to see a lot more AXIS Homes over time.

They are designed for first home buyers and there is a qualifying criteria plus some restrictions including a requirement to live in the new home for 2-years.

Read Here: Axis Series Affordable Homes Information Sheet to Banks January 2017

Due to the homes being great value and therefore the overwhelming demand for Axis Series homes, to ensure fairness the sales are done through a ballot system. You register your interest and the people whose names are drawn from the ballot will get the first opportunity to buy the homes.

When you registered your interest you want to be sure that you qualify for finance so that upon completion you can buy the home.

Contact The Mortgage Supply Company First

As mortgage brokers based in Hobsonville we are right in the middle of it – we probably have more to do with AXIS Homes that any other broker.

mortgage-supply-co

Level 1, 124 Hobsonville Road Freephone: 0800 100 939 Landline: 09 416 2073 Mobile: 021 984340

Why?

  • At this stage Hobsonville Point is the only place in New Zealand that has AXIS Homes
  • We have offices in Hobsonville which is right on the doorstep of Hobsonville Point
  • We recently built our own new home in Hobsonville Point so live there and have two neighbours in AXIS Homes
  • We know most of the building companies quite well and are the ‘go to’ people that they often use

When you are purchasing an AXIS Home it is going to be a new build and your first home too.

We have a lot of experience (both personal and business) dealing with building projects and new build finance, plus over the years we have helped a large number of first home buyers. You can follow us on Facebook for both these groups;

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Which Are The Best Banks?

With the changes to bank policy it has become harder to get low deposit mortgage finance for AXIS Homes.

This affects the potential home owners as some of the building companies are now insisting on pre-approved finance before they will allow people to enter the ballot. It also means that because of this there will no doubt be less people in the ballots so for those that get their names in there is a better chance of being selected.

We know that these AXIS Homes are great value and a really good way to get into home ownership so as a potential buyer you want every chance of being successful.

Of course we would love to help you with the finance, but if you already have another mortgage broker looking at arranging the finance and struggling you might wish to share this information as it might help make their job easier.

AXIS Homes Finance – April 2017 Update;

 ANZ Will lend to a  maximum of 85% meaning a 15% deposit is required
 ASB Will lend to a maximum of 80% meaning a 20% deposit is required
 BNZ UPDATE PENDING
 Co-operative Bank UPDATE PENDING
 Kiwibank UPDATE PENDING
 SBS Bank Not currently lending on AXIS Homes – policy under review
 TSB Bank Will lend to a maximum of 80% meaning a 20% deposit is required
 Westpac Will lend to a maximum of 80% meaning a 20% deposit is required
Please Note: This information was provided by the representatives of the banks and maybe subject to change.

It is difficult to say which is the best bank as everyone’s situation and therefore needs will differ, plus bank policy changes.

There are plenty of situations where a few months ago a bank would have done a deal for someone which they may not do today. We have had those experiences and it can be frustrating as mortgage brokers and we know is frustrating for first home buyers too.

We also see sometimes where banks will have committed to something in error and may go ahead and honour the deal even when it is not policy. It is important to remember that AXIS Homes have only ever been available in Hobsonville Point and for that reason many banks are not familiar with them, or are just becoming familiar with them and that is the reason we have seen a lot of policy change over the past few months.

Good Luck For Your New Home

Getting into your first home should be exciting, but at times it can be quite stressful too.

As mortgage brokers and residents of Hobsonville Point we would love to help with your finance but we also understand that there will be times where you may have already been working with a bank or mortgage broker and therefore feel an obligation to stick with them.

Whatever the case we are always here and willing to help with advice, to answer questions or for a second opinion.