Average advertised rate from the 4 largest banks in NZ Lowest rates we have attained for our clients this year
Floating rate = 5.89% Floating rate = 5.05%
1 year rate = 4.38% 1 year rate = 4.09%
2 year rate = 4.55% 2 year rate = 4.25%
3 year rate = 4.99% 3 year rate = 4.55%
5 year rate = 5.84% 5 year rate = 5.09%

* Average advertised rates are correct at the time of this post(Q1 - 2018) but are subject to frequent changes. Refer to this table on an ‘indicative basis’ only. Lowest rates attained are subject to your individual situation and the bank’s assessment of your financial position. Table assumes an <80% LVR and Owner Occupier basis.

How much does it cost to work with Approved Mortgages?

It’s a no-brainer to have one of the Approved Mortgages team providing you with recommendations and discounts. It’s a simple choice as we don’t charge you for our help.

Our fees are paid by the bank that you end up choosing to work with. The banks like working with us because we are specialists in this area and we do the lion’s share of the associated paperwork. This means that they don’t need to hire more staff to handle the mortgage process with clients, as we perform that function for them. We see it as a win-win and know that in time, you will too.

Approved Mortgages Child on Sofa

But surely if I go to the bank directly I will be able to get a better deal?

This is a common misconception of people who have not yet worked with a mortgage broker. Banks need to employ more staff and train them up to handle mortgage enquiries, or they pay mortgage specialists like ourselves. In both cases they have costs to cover. That’s why going directly to the bank instead of via a mortgage broker does not mean that you can get a better deal.

In fact, 9 out 10 times a mortgage broker can attain better outcomes for you with the banks because of 'economies of scale'. This concept simply means there are cost-saving advantages to when you are doing a lot of something. In the case of a mortgage broker, they are dealing with clients to help arrange mortgages every week of the year. 

Good examples of this concept can be found everywhere. For example, when you go to the hardware store to buy materials you pay the price on the price-tag at the checkout. Whereas your builder buys the exact same materials at a lower price via the 'Trade Counter'. Builders can get these lower prices because they buy significantly more materials than you do and so the hardware store rewards them with lower prices. This same common principle applies when it comes to getting a good home loan outcome. This is why it is always smarter to work with a good mortgage advisor rather than going to the lender directly.

Does my situation qualify to have your team help me?

We are known to be a really helpful bunch here at Approved Mortgages, but even as specialists we can’t always help everyone. It really comes down to what you are looking for. If you are seeking a mortgage specialist to help save you money and provide recommendations over the entire life of your loan, then do contact us, we will be a good fit for you. We value long term partnerships built on mutual respect and trust.

Contact us: take the first step to see what we can do for you.