Despite rising interest rates and banks applying greater scrutiny to loan applications, plenty of avenues remain for household borrowers to secure a mortgage, says a leading financier.
"Sadly, too many young Kiwis are despondently walking out of banks and giving up. First-home buyers are getting rejected because they don't quite meet the servicing requirements or they might not have a 20% deposit. They need to know, however, that they haven't reached the end of the road," says Julius Capilitan, Managing Director of Century 21 Financial New Zealand.
Mr Capilitan says mortgage brokers like Century 21 Financial can deliver greater borrowing flexibility, better interest rates, and do all the running around – making short work of what can be a daunting and disheartening process for people.
"We pride ourselves on helping people to navigate and secure a life-changing outcome. First-home buyers, and even next-home buyers, shouldn't give up. Interest rates are still relatively low and so the opportunity of locking in a great rate this summer should not be overlooked. Let's not forget the Reserve Bank has made it absolutely clear that rates will keep going up," he says.
Century 21 Financial works with the big retail banks, smaller banks, credit unions, and non-bank lenders. It offers a full range of financial and mortgage broking services, with Century 21 real estate offices nationwide also referring clients for financial advice and lending.
Tim Kearins, Owner of Century 21 New Zealand, is on a recruitment drive, searching for franchise owners to set up new Century 21 offices in key parts of the country. He says Century 21 Financial only strengthens his company's proposition in the local real estate marketplace
"Century 21 Financial builds on our global brand and reputation for superior advice and service. Our offices love working with Julius to help their clients secure their dream property. It's a big plus when an agent can make an instant referral to help buyers secure a mortgage and get over the line. In fact, it's more important than ever before," says Mr Kearins.
The Century 21 financier says in recent months many more Kiwis have been heading to more flexible lenders, with brokers now seeing non-bank lenders and the smaller banks offering more competitive rates than the big banks.
"The good news is there remains plenty of can-do lenders prepared to back good people. At the same time, it's critically important Kiwis get the right advice fit for their personal financial situation. It's all about making the best choices to achieve the greatest outcomes, and in many respects this summer may in fact provide a unique opportunity to do just that," says Julius Capilitan