Home Loans
CBS Canterbury’s main criteria when assessing home loans are- The value of the home
- Your ability to repay
How much can I borrow?
CBS Canterbury’s home loan options means you can borrow up to 80% of the valuation or purchase price of the property (whichever is the lesser). Loan applications above 80% may be approved subject to different criteria and special conditions.
What is my maximum ability to repay?
Your debt servicing should not be more than 30% of your gross income. A “high start” option is offered to enable young couples who are initially both working but are likely to have a family to quickly reduce debt.
What types of loans does CBS Canterbury offer?
When applying for your first home loan you may qualify for the Housing New Zealand supported Welcome Home Loan. This loan may also support low deposit inquiries.
For loans that do not meet the Welcome Home Loan criteria then the Advantage Home Loan is your most suitable option. This also caters for investment property purchases.
The other option available is a revolving credit facility using the equity in your home to provide further borrowing opportunity if required.
There are two main types of loans CBS Canterbury can offer.
- Table Loans ( principle and Interest repayments )
- Interest only loans ( repayments meet interest charges but do not repay any principal ).
Home loans are available with either a floating interest rate ( increases or decreases as the market fluctuates ), or fixed interest rate ( rate stays the same during the fixed rate period ).
What loan term is available?
The sooner you repay your loan the less your total cost will be. The maximum term for a table loan is 30 years, but a home loan set up over a 15 year term will provide more flexible options should your circumstances change, as well as the much lower total cost.
Please contact one of our Lending Staff for individual application and details.