A) A common misconception of NZ Expats is that they will need to obtain OIO approval to purchase property in NZ. Recently the Government has been cracking down on foreign investors who have purchased property without the necessary approvals from the OIO. However, NZ Citizens living overseas do not require OIO approval to buy property in NZ.
A) Yes we can potentially secure NZ mortgage finance for you.
Lending requirements have tightened significantly meaning that we are currently only to attain approvals from 2 banks in NZ, where you reside and work outside of NZ. Banks may also apply a 'shading'(discount) to your overseas income of anywhere between 20-40%, to reflect their assessment of the greater risk associated to lending based on non-NZ generated income.
You will need a minimum of a 30% deposit, because the property will most likely have to be assessed as an 'investment property', as you are not in country to be able to live in it and be able to call it your 'owner occupier' property.
A) With the exception of New Zealand, Australian and Singaporean citizens, banks in New Zealand wont provide a mortgage to a foreigner wanting to obtain a mortgage on a NZ property.
New Zealand permanent Visa holders should still make an initial enquiry with us to see if we can assist you in your particular situation.
A) This depends on weather you have been AML/CFT Anti-Money Laundering and Countering Financing of Terrorism processed by the lending institution that is providing the mortgage. If this process has been completed in is possible to sign the necessary documents in-front of the appropriate authorities abroad, however more often than not a trip home should be factored into your budget to fulfill this requirement.
A: Paying off a loan which is based in NZ dollars from overseas earned income does expose you to interest rate fluctuations. Below are steps you can take to help manage this risk(please note that this is not personalised advice, more just general information.)
Do your own research first but look into why so many people are choosing to use specialist money transfer providers who can deliver better exchange rates than the bank.
Our clients are entitled to preferential pricing with XE.com Money Transfers where they have been referred first by us. Ask us today if we can make a referral for you and find out how much you will save on your next international money transfer.
Forward contracts - some clients consider using some thing called a Forward Contract to lock in favourable exchange rates for up to one year. With a referral from us, the team at XE.com Money Transfers can provide you with guidance on how this works.
Set up recurring payments, so you don’t get hit with late fees.
Assess the value of sending one larger lump sum versus a series of smaller payments.