[the emery family]

hi all. we are coming over in january and are going to rent initially but might want to buy after 6 months. Does anyone know how many times your salary you can get a mortgage for - is it around 3 like in the UK? If so , combined with some equity, i guess we'd have a budget of about 400,000 dollars - anyone have any idea of whether this could still buy anything in north shore?

[jubjub]

As an idea, we were offered $260k on a salary of $58k, if that helps! Although one bank would only lend us $200k, and we needed $205, they would not budge, so we chose someone else!

[KerryS]

You can find a mortgage calculator on the westpac website here:
http://www.westpac.co.nz/olcontent/olcontent.nsf/Content/Home+Loan+Calculator+-+Borrow

I think the other banks have them too.

[Babette & Andy]

It's around 3 times your income, with a deposit on top. However a lot of other factors are taken into account too.

Whether you sit down with a mortgage broker or direct with a bank, they will go through a comprehensive budgeting excercise with you where they establish (almost to the $ !!) what your outgoings are compared with your income. They aim for repayments not to exceed 40% of your income (if I remember correctly). And will calculate your 'surplus' as well (i.e. for those things that you don't budget for).

What we're finding is that the banks in general will lend you quite a bit over what we'd be comfortable repaying; i.e. with deposit they will lend us upto $500 whereas with our calculations we'd feel better sticking under $475.

Another thing that's blowing us away is the big difference in interest rates compared with the UK. If you were to agree a 5yr fixed term you currently not likely to get below 7.5% / 7.75%

However, all said, $400,000 should get you a property ok, depending ofcourse what you're after. Maybe you'd like to check-out the following websites and filter them for your area and requirements:

www.open2view.com www.realestate.co.nz www.trademe.co.nz

Good luck!!

Babette

[lollypop]

Hi there,

We just bought on the North Shore, in Torbay (completed today in fact!), after renting since February. Prices are pretty high around here but we managed to find a house to buy for $428,000, 4 bed (just). Don't whether you've already visited this area but the housing is quite high density. Great area for families though with good schools etc. If you want any more info please feel free to PM me.