10 Easy Steps for First-Time Buyers

Depending on your circumstances, most lenders require between a 5% and 20% deposit, but don’t worry if you haven’t reached that yet — there are other ways to get into your first home. First-time buyers may be able to use your KiwiSaver (if you’ve contributed for at least 3 years).

Options if you haven’t quite got the deposit required:

Limited Guarantor Loans

Limited Guarantor Loans, also known as Equity Guarantee Loans, allow an immediate family member to act as a guarantor. They offer additional security to the lender, often using equity in the guarantor’s home. This can help you buy a property sooner.

Family Gifts

Some first-home buyers receive financial help from family in the form of a gift toward the deposit. This reduces the need for a large loan and avoids a long-term financial commitment from family. Another variation of this is a Deed of Acknowledgement of Debt, where there is an agreement to repay the debt to your family member over a period of time.

Flatmates or Boarders to Help with Repayments

Some banks may consider rental income from a flatmate or boarder when assessing your ability to repay the mortgage. Your mortgage broker can advise on this option.

A mortgage broker works with multiple lenders and will find you the best deal for your situation — at no cost to you, as the lender pays them.

How Much Can I Borrow?

Your borrowing power depends on several factors:

• Your income
• Expenses and debt (like credit cards or car loans)
• Credit score
• Savings and deposit amount
• KiwiSaver (you may be able to use it if you’ve contributed for at least 3 years)

Your broker will help you obtain pre-approval, enabling you to begin house hunting with confidence. At Jack’s Landing, we can recommend a team of trusted and experienced mortgage brokers. Contact our sales team for our recommendations.

No other development in Hamilton enjoys the unparalleled central city location of Jack’s Landing. Positioned just a stone’s throw from Hamilton Lake and a short walk to the central city and Waikato Hospital, residents are uniquely placed to access both work and recreation. With a range of typologies, including 3- and 4-bedroom single and two-storey designs, contact our sales team to discuss your requirements. Discover the latest and upcoming availability person to person at our show home, view completed homes and explore the development.

Reasons To Buy a New Build

New homes come with great benefits:

• Move-in ready — no repairs or renovations
• Modern layouts, open-plan living, better insulation
• Energy-efficient appliances and systems = lower power bills
• Lower maintenance costs
• Often come with a 10-Year Master Builder Warranty or a new build warranty
• Banks often favour new homes over older-style homes that may require more maintenance

Location, Location, Location

Location affects lifestyle, property value, and resale potential. Distance to work, shops, green spaces and transport are all factors to consider, and Jack’s Landing ticks all of the boxes.

Need an Extra Bathroom?

If you plan to rent a room, a second bathroom increases appeal and rental value. It adds privacy and can help cover your mortgage with flatmate income. All houses at Jack’s Landing have a minimum of 2 bathrooms, and many designs include convenient extra/separate toilets and en-suites.

When you find the right house, you’ll work with your real estate agent, builder or lawyer to make a formal offer. Once an offer is accepted, the following process begins:

• The vendor’s lawyer will prepare a Sale and Purchase Agreement (S&P) with your agreed terms
• This is a legally binding document, and once both parties sign, the clock starts ticking on your conditions, and your lawyer will complete the following due diligence, typically over a two-week period:
  • Typical Conditions (2 Weeks)
  • Finance approval
  • LIM report (Land Information Memorandum)
  • Building inspection
  • Title search
  • Settlement date
  • Check for any covenants, easements, or zoning issues
  • Your bank may also require an independent registered valuation as part of this process
• If issues arise, you can renegotiate or withdraw (within the time allowed)

Once all conditions are met and approved, the agreement becomes unconditional. This means you’re officially committed to the purchase.

Usually, this is 10% of the purchase price and is paid into the agent’s or lawyer’s trust account.

With some new builds, you may need to make progress payments; however, when you purchase a new home at Jack’s Landing, you pay the 10% deposit and then the balance upon completion.

Your lender will prepare your loan documents, and you’ll review and sign the required sections with your lawyer.

You’re entitled to inspect the property shortly before settlement. The purpose of this inspection is to verify that everything is in the same condition as when you signed the contract.

The big day! On settlement day, your lawyer transfers the funds to the seller’s lawyer, and you receive the keys to your new home.

Congratulations, you’re no longer first-time buyers, you’re now on the property ladder! You can start building equity, increasing your wealth, and enjoying the freedom that comes with owning your home.