The Best Mortgage Options for Real Estate Investors

Are you a real estate investor looking to invest in your first property in New Zealand? If so, then you have come to the right place. With a Simpler mortgage broker in New Zealand, we can help you find the right mortgage option for you.

After all, financing the purchase of a real estate investment is an important decision and should involve careful thought and consideration. So, let’s jump right into the different financing options for you!

Mortgages and Bank Loans

The most common type of financing for any property will be a conventional bank loan, with a specific term, structure, and interest rate that can depend on the bank and your current financial situation. 

A mortgage bank loan offers numerous benefits, including:

  • Reliable institution - you can count on the bank to hold up to their side of the deal
  • Easy access - qualifying for a bank loan is usually easy unless you have a poor credit history
  • ROI - choosing longer term loans allows you to repay them easily without significantly impacting your ROI

You can also choose between fixed interest rate (does not change) or floating rate (changes according to the market) mortgages. 

With this in mind, there are different types of mortgage options available.

Table Home Loans

The most popular type of loan with a regular repayment plan with terms of 25 or 30 years. This provides great budgeting potential and you make payments monthly, fortnightly, or weekly. 

Reducing Balance Home Loans

Although not common today, this type of loan requires a fixed payment for the whole term, resulting in less interest. As an expensive loan option, this is typically ideal for those with high incomes. 

Offset Mortgages

Links your mortgage to your savings account, with your total sum of savings deducted from your mortgage. This can reduce interest costs and repayments. The interest rate for this mortgage type is floating. 

There are more mortgage options available for property investors. If you need a professional mortgage broker in New Zealand, look no further than Simpler. When it comes to helping you find the best mortgage options for your real estate investment needs, we can help make the process simpler. Rest assured that our expert mortgage brokers will be at your side throughout it all. Schedule an appointment with us today for an introductory consultation into how we can help you. 

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