There are five very strong reasons as to why EVERY borrower should talk with Wayne and the team when trying to secure property finance:
The biggest advantage when using Wayne over a bank is choice. When you sit in front of Wayne you can choose between 10+ lenders and 50+ products versus visiting a bank representative who has access to only their bank’s products. This is especially important at a time like now, when the banks are saying ‘no’ more, and by having multiple choices you’re likely to get a ‘yes’.
Ask your bank representative how long they’ve been helping people with home loans, then compare this with Wayne’s 40 years within the lending sector. That’s experience through almost every financial situation including the harsh late ‘80s, the booms and bust of the ‘90s, the global financial crisis of 2007 / 2008 and the more recent Reserve Bank policy changes and upheavals. He has provided assistance in almost any situation you can think of from first homes and property portfolio investments to marriage breakups, bankruptcy and everything in between. With experience like that you can be assured he knows more than most when it comes to what is required to secure a mortgage. After all anyone can read an interest rate and use a calculator- it takes experience to know what numbers really matter and what questions to ask.
The value we provide is acting on your behalf – impartially. We have to, it’s part of our legislative and legal responsibility, but it’s also what we know to be right.
There is an equally strong argument for Wayne to act for you in situations where you may need to borrow more money in addition to and after your mortgage has been sorted. Situations where extra debt might be needed to purchase a replacement vehicle, boat or other large financial undertaking.
If clients have equity in their personal residence and are able to increase their borrowing to consolidate we will advise and assist them to borrow those funds at housing rates with the debt secured over their residence.
Banks often and invariably take a different approach guiding customers into borrowing those funds on a personal loan.
The difference is that under a personal loan facility the interest rate charged is at least 3 times the rate clients would pay if borrowing the funds at residential interest rates. Also by borrowing the funds secured against their home the client can dictate the term and/or amount they wish to repay the loan over or at. With a personal loan your term is restricted to a maximum 5 years.
This is another example of lenders focusing on their profit margin, not what’s in the customer’s best interest, and a practice contrary to the no.1 rule under the FMA code of practice regulations.
Following up the progress of your loan application is time consuming and frustrating. Wayne and his team of staff do that for you, keeping you informed and saving you time. Sounds simple enough but when you are trying to keep up with the pressure at work and focus on the family, the last thing you need is to be worrying about what paperwork is where and with whom. This comes into play particularly if you are considering a build process. Watch for an upcoming newsletter about the building and finance process.
Wayne effectively is “like the perfect personal coach”. You may have thought only people with extensive investments or property portfolios have access to this service. Guess what - you can too!
Wayne knows what needs to be done, can ensure it happens and because it’s Wayne’s own business, he is in for the long haul. Bank staff change often.
So even when you find a good personal banker they change jobs or roles before you know it. With Wayne as your personal financial coach you know when you call it’s him you are going to get.
As a coach he works with you throughout the lifetime of your mortgage facility encouraging you at every opportunity to lessen debt and pay off the mortgage as soon as possible saving thousands of dollars in interest. He can show you how and will work with you to achieve that.
Call the team who can help!
Having seen some of the profits that the Big 4 have announced, we can all feel a little aggrieved that it is in fact our money making up those enormous funds now being divvied up to shareholders. Yes they are a business – and obviously BIG BUSINESS, not the local friendly bank on the corner that their marketing teams may want us to believe.
No - they are a business and as such have an obligation to their shareholders to increase profit year on year. Ever increasing fees, interest rate changes that don’t always seem to provide the full benefit of the Reserve Bank cash rate reductions - nothing changes – this is the business of banking.
And while you may throw your hands up in despair and think you can do nothing – the reality is you can. A little time with us, some focus on what you want – not what the banks want – and you could in fact save yourself thousands.
One key action lenders strongly encourage, of which we take a more personal and flexible approach to, is FIXED LENDING.
Locking in fixed interest rates for 3,4 or 5 years may provide for supposed security ensuring you know what is expected each month however that can come at a financial cost – to you! By locking in for longer terms the opportunity to change your lending and take advantage of any potential rate drops throughout your fixed period may come at a significant cost – break fees. These costs can be exorbitant and run into many thousands of dollars. Even a 2 year fixed period may be too long depending on your personal circumstances.
The reality is you may very well end up paying more interest than the person who chooses a different rate and different FEATURES. Features that can work in your favour and that you need to be aware of can include:
So before you or someone you know makes this mistake – give them this newsletter or tell them to head to our website and get in touch with us so we can help them.
Did you know that when you apply for a mortgage, lenders factor in a 3% monthly cost on all credit card limits (not the actual debt)?
General ‘Rule of Thumb’ - Your credit card limit will impact on the amount a lender will loan you. Every $1,000 card limit, will result in a reduction of approximately $4,000 that you can borrow on a mortgage. So a $10,000 credit limit will reduce your mortgage borrowings by about $40,000!
We get that lenders are being careful not to overload you with debt…..
So why is it, one of the first things most new customers get offered by their bank when they secure a mortgage is a new shiny credit card!?
This highlights the irrational thinking of lenders who will ask potential borrowers to reduce credit card limits as a condition in their loan offer – yet within weeks of the mortgage being advanced will be inviting clients to either take a new credit card facility or increase their existing limit.
To add some sting to the process, many lenders then promote/ market themselves further and make contact congratulating customers on being valuable clients and advising them their credit card limit has been automatically increased as a result.
Doesn’t make a lot of sense does it – first asking you to reduce your debt – and then trying to get you to increase it! Legal? Yes. Irresponsible? In my opinion yes and contradictory to the lenders requirements at the time of loan assessment.
Makes you think though – should the bank be your first port of call? Or should it be Wayne?
Wayne received the award from the Lending industry and his peers because of his “consistent top performance in both quantity and quality of mortgages written.” Scott Black, CEO of SHARE, commented that “Wayne is an asset to SHARE and a worthy winner of this award.”
Wayne receiving his SHARE Mortgage Adviser of the Year award from Sarah Dowie (MP for Invercargill) at Parliament during the recent annual SHARE Conference held in Wellington.
We are going to tackle the bigger picture – how to place the value of your own finances over the wealth of banking institutions.
We EXPOSE one of the key mistakes the majority of people make when trying to get mortgage finance and we highlight why every person in the market for a mortgage or property finance of any kind should use Wayne – not that we are biased at all – but these points will make you think.
And finally we highlight some of the Trade Talk behind the scenes.
Enjoy the read and remember, just call us BEFORE you find the property you’ve been looking for and let us help you GET THE FUNDING FIRST.
A lot has been in the media regarding the Trans Pacific Partnership Agreement (TPPA). Finding out what it stood for was easy, finding out what it actually involves is more difficult.
This seems to be the crux of the matter when it comes to the discord a lot of people are feeling – and we note this isn’t limited to New Zealanders – it is purely the lack of the FULL FACTS that is causing the angst. We live in what is coined as a ‘Global Society’ and like any coming together of differing ideas, opinions and self-interests – questions should always be asked.
In our view, on the Pro side of the fence – the prospect of more export opportunities and business growth and all that is attributed to that,employment growth, financial stability, and the list goes on.
On the Negative side – the open market pushing up house prices as overseas buyers with stronger economies buy ourland. (It has been noted that in many countries, whilst you can lease land you cannot own it like you can here in NZ, so with land being seen as a commodity, this is an area of concern for some).
As a team, and as a business, we would like to say that we have made a clear decision about the side of the fence that we are sitting on. But we can’t, for one simple reason – we don’t have all the facts.
It is hard to vote for or challenge an idea when only partial facts are on the table. And there lies the crux of the issue – LACK OF FULL FACTUAL INFORMATION. Similar to securing a home loan, unless you have all the facts then that seemingly low interest rate could have some hooks that you only discover after the deal has been signed.
Or that bonus offer the bank is promoting doesn’t provide all of the information and you could end up paying more than necessary. Any deal that is on the table – unless it’s a game of Poker – shouldn’t be a gamble. It should be factual, with all of the information provided so both parties are clear about their roles, responsibilities and obligations.
Our job as Mortgage Advisers is to ensure ALL the FACTS are on the table and you know exactly what you are signing BEFORE you sign it. Perhaps, if the TPPA teams across the globe understood this more and presented the FACTS first before asking us to vote, agree or support this deal, there would be less angst.
Contact the team who can help!
Good on you for spreading this message. I agree that it's really important the more NZers are made aware of what's going on. Everything I've read on the TPPA (from non-govt sources) says it's a very bad deal for us and has some potentially damaging aspects for the future.
And I think more people in your position need to get behind this, as it's mostly seen as a pro-business deal.
Thanks for doing your bit."
If you, or perhaps your offspring, are wanting to buy your first home and don’t quite have enough saved, then consider utilising your KiwiSaver™ to boost the funds. In many instances today, KiwiSaver™ funds eligible for withdrawal form by far the greater portion of a first home buyers deposit funds and often the entire deposit amount.
You may be able to withdraw the current value of:
Provided you leave a minimum balance of $1,000 in your account.
In some cases, even if you have owned a home before, perhaps whilst in a relationship that has since broken down, you may be able to access your KiwiSaver™ to purchase your first home in your name only.
Talk with us so we can assist in providing the full facts allowing you to make the best decision about your future home ownership.
We often think of insurance as something that we pay for ‘Just in Case’, and then bemoan the cost each month, quarter or year when we pay the premium. But it is more than that, and it has changed over time between generations as society has changed and we have become more global in our thinking.
Today, with reduced tariffs and our ability to buy imported goods for such a low cost, we can purchase a large Flat Screen TV from a discount store at almost half the average weekly wage.
This is a far cry from distant past.
And insuring this TV has also changed –
More often the company you purchased the TV from had an insurance component in the repayments.
We have Income protection now protecting our largest asset – our ability to earn.Previously benevolent funds supported families in need, or the state in terms of Widow(er) benefits. ACC was initially designed for this, however the challenges of population growth has seen this curtailed significantly.
Times change and what our grandparents experienced, or even our parents, may no longer exist. But there will be a replacement – and you can still protect any or all of your assets.
Just talk with us and get all of the information before making a decision about valuing your assets.
There is a code of practise that we are required to adhere to as Mortgage Advisers and as an industry we are involved with the updating of this.
The recently introduced Responsible Lending Code aims to prevent consumers being locked into loans they can’t afford and may have little hope of repaying. They’re also designed to stamp out advertisements for “easy credit” that target low-income consumers and vulnerable borrowers unable to obtain finance from banks.
As a team here at SHARE it is something we have always done and will continue to do – take whatever amount of time is needed to ensure the best decision and lending option is reached for you!
To do this, we ask those searching questions that others perhaps overlook, or don’t have time for, in order to find out more about you, your aspirations and goals. This is not because we are nosey, but to ensure that as Advisers we are supporting you to get a loan you can afford, not just today but in the future.
We calculate repayments and financial factors BEFORE any application to a lender, ensuring you can make more informed decisions. Some clients we have spoken to have only found out from the bank how much their exact repayments were going to be after they had signed the paperwork!!
We pose the ‘What If’ questions as well – what if you were forced to one income through unforeseen circumstance. What plans could be made to ensure your property was protected. What if you decide to take a break and have a few months off – can we plan a strategy? It’s not about necessarily finding the lowest interest rate (although this is a consideration) it’s also about being responsible to you for today, tomorrow and down the track.
We live in a Global economy. The implications of Trade Deals are widespread and in some cases unknown. When an exporter can secure a higher price for their product in an overseas market than they can at home, then they are going to sell at that higher price. Housing is no different in this respect and constantly increasing prices are being driven in a similar manner.
In this edition, we have some questions around the TPPA and its impact on New Zealand, and you might be surprised at our analysis. We focus on what makes for good decision making when it comes to borrowing money and how protecting your assets is often overlooked. And of course we provide you with the facts that will help when using your KiwiSaver™ savings toget on the property ladder with your first home purchase.
Contact the team at any time with any question – we are here to help in any way we can.
You may remember our last edition when we highlighted our support of Ella Ransley and the 2015 New Zealand U19 Women’s Lacrosse team. The team needed some support to get to Edinburgh and approached us to see if we could lend a hand.
Their dedication, enthusiasm and commitment to perhaps a much overlooked and unsung sport amongst Kiwis helped us make the call to get behind this team. The World Cup played out in August with the best teams in the world vying for the top spot. Showing that inspiring Kiwi determination to beat the odds, this team moved from a previous ranking of 11th to being 5th in the World. The girls played hard but they played fair and the strong team bond and sportsmanship was noted by each of the game commentators.
Well done to Ella and the team – you did us proud – but more importantly, you did yourselves proud!
To get a better outcome when applying for a mortgage there are some inside tips you need to be aware of and that will ensure a smoother, perhaps less stressful approach to securing a mortgage.
HOT TIP : These are relevant if you are a first home buyer, about to re-finance or even purchasing a 2nd or subsequent property
Next Edition – Going Unconditional After the Due Diligence. Looking behind the ‘Recent Makeover’ to ensure there are no hidden surprises – what you can and should do when buying a property.
They are at it again! Yes, the banks are hungry for customers, with many being aggressive in contacting home owners trying to tempt them into refixing by offering discounted rates – the catch seems to be that these ‘special’ rates are only available for 24 – 48 hours.
Be wary of anyone being pushy and offering a time limited offer – you are the customer providing them with years of repayments – so STOP, take a deep breath and tell them you will call back later, or better still that you work through Wayne – then call us for the following very good reasons;
a) We will negotiate the best discounted rates available with your lender and know what is available from other lenders as a comparison. If the rate is not good enough we will go back and renegotiate on your behalf.
b) Always remember banking personnel work for their employer (the Bank) whereas we are working in your best interest and will advise you accordingly.
HOT TIP : You have to ask yourself – how likely am I to see this same person in 2, 3 or even 5 years time and are they really employed to look after my best interests?
Have you ever been encouraged by a bank to fix your interest rate for longer terms (3, 4 or 5 years) when interest rates are clearly moving down?
Had we been advising you, we would have suggested fixing for a shorter term – anything from 6 – 24 months instead. Once you are locked in for longer terms break costs become very expensive if you want to terminate your fixed rate contract.
When this is the largest investment you will likely make, and these calls come in, it can be tempting to just accept the interest rate offered. We know what it’s like- we all lead busy lives and can be distracted and just say yes without realising the consequences.
IMPORTANT TIP : Consider this - do they get you to confirm your requirements by email? If not, where is the documentary evidence of your request?
Again, be wary. Tell them you will call back at a more suitable time – and then call us so we can see if the hooks outweigh the catch! 07 856 2960
Having spent my own time travelling, I know the joy of meeting new people, visiting distant places and being inspired to do more. Holidays shouldn’t just be the annual Christmas trek to the beach.
However we know that it can be challenging making the budget stretch – and that’s where we like to help. When you tell other people about us – it helps us – and we would like to thank you for that.
As a way of reward anyone that refers a new client to us, who then settles their mortgage using our services, will not only receive a $100 gift voucher but will also go into our 6 monthly draw to win a $750 travel voucher.
And here’s our most recent winner: Don & Marilyn Jessen
By telling their daughter to contact us, whereby we were able to help her and her partner into their own home in Wellington, Don & Marilyn can now start planning a little break for themselves.
TIPS: You can refer as many people as you like – each one is a new entry giving you more chances to win - and each referral gives you a $100 gift voucher.
It’s easy – no forms or paperwork – give them our number and tell them to inform us who referred them. We do the rest!
As the referrer you can be an existing customer or not. And your friend or family member does not need to live in the Waikato – we can, and do, help people ALL OVER NZ! ALL OVER THE WORLD IN FACT!!
Always the Champion of Champions, Wayne is proud to be able to provide some sponsorship to top level New Zealand Representative Ella Ransley.This month Ella will achieve the goal she has trained towards for the last four years – to travel with the NZU19 Lacrosse team to Edinburgh, Scotland for the Lacrosse World Cup. With a stopover in the USA to play some ‘warm up’ games, it will be an intense month that will push the players to their limits.Lacrosse is a fun, fast paced game, combining speed and technical skills. This is nothing new to Ella – she is also a highly ranked hurdler in NZ youth Athletics.
Go Ella! Make NZ proud!
Come to us for impartial advice when re- fixing – we look after YOUR best interests; not the bank’s. Send us an email and we can help – no cost and no fuss.
We are aware that some of you may be confused by the other SHARE offices located in Hamilton. While they are part of the SHARE network of professionals they are separate businesses to ours.
Our advice comes supported by many years in the mortgage and insurance
industries. So contact us today!
This website is for general information purposes only. We encourage you to
call us or email us in confidence with specific questions.