welcome home loans
If you are unable to save for a 20% deposit for your home loan, New Zealand Welcome Home Loans are for you. The welcome home loan is a scheme for people with moderate incomes and a dream to buy their own homes. It is managed by Housing New Zealand and is not subject to the Reserve Bank’s loan to value rules (LVR).
At Mortgage Suite, we help people with moderate incomes but capable of making mortgage repayments to get a home loan with a minimum deposit of only 10% under the welcome home loan scheme. Individuals can borrow up to 90% of the purchase price to finance their homeownership. However, they cannot borrow the deposit under this scheme.
Eligibility criteria for welcome home loans in New Zealand
Not every individual is eligible to get a home loan mortgage under the welcome home loan scheme. To get welcome home loans to fulfill your dream of homeownership in New Zealand, borrowers need to meet certain eligibility criteria before the loan application process. The lender bank also takes any existing loan in the name of the borrower into its account in the assessment process to decide whether or not they fit good credit criteria for welcome home loans. To be eligible, you must meet the following criteria:
- For sole borrowers, total household income should not exceed $85,000 (before tax).
- If there is more than one borrower to buy a home in NZ, then the combined household income should not exceed $130,000 (before tax).
- These home loans are restricted to purchasing houses within a certain price limit.
- You must intend to live in the home being bought.
- You must not own any other property.
- Welcome home loans cannot be used for property investment or to buy rental properties.
- You must be a New Zealand citizen or hold a Permanent Resident Visa in New Zealand to apply for the welcome home loan.
Welcome home loans can be applied at any branch of the participating lenders under the welcome home loans scheme. At Mortgage Suite, we help you find the right Welcome Home Loan lender based on the location where you are purchasing a home. As an experienced loan advisor in NZ, we also help borrowers with credit checks & financial assessments before sending the loan application. Give us a call to know more about welcome home loans and discuss your requirements and criteria.