The basic of buying your first home

Buying your first home is exciting — but it can also feel overwhelming. Between deposits, pre-approvals, and real-estate jargon, it’s easy to get lost in the process. At Best Mortgages, we help first-home buyers across Tauranga and the wider Bay of Plenty understand how it all works, so you can make smart, confident decisions.

Understanding How Homes Are Sold in Tauranga

Before you start attending open homes, it helps to know how properties are sold in New Zealand. The main sale methods you’ll come across are:

• Auction: Buyers compete in real time, and the highest bid over the reserve price wins. It’s fast and transparent — but you’ll need to have finance sorted first, because auction purchases are unconditional.
• Set Asking Price: A property is advertised at a fixed price. You can offer below or negotiate if you think the figure’s a bit high.
• Tender: You submit a written offer by a set date. The seller reviews all offers and chooses one — there’s no public bidding, so make sure your documents are complete and legally checked before submitting.
• By Negotiation: Sometimes a property is listed without a guide price. Buyers put forward offers and the agent manages negotiations until both sides agree.

Understanding these methods early saves time and stress when the perfect house appears.

Getting Your Finances in Order

Most banks still expect a 20 percent deposit, but that’s not the only path. Many first-home buyers in Tauranga use a mix of KiwiSaver withdrawals, First Home Grants, and gifted funds from family to reach their goal. If you’re short on deposit, there are still options. Some lenders will go as high as 90 percent LVR, usually with a small low-equity fee. Non-bank lenders can be even more flexible, especially for self-employed borrowers or those with short work histories. We’ll look at your income, debts, and savings, then calculate what you can safely borrow. Our job is to match you with the right lender — not just the first one that says yes.

Why Pre-Approval Matters

Getting a pre-approval means a lender has reviewed your financial position and confirmed the maximum amount you can borrow (subject to standard conditions). It gives you confidence when bidding or making offers — and shows agents you’re a serious buyer. In Tauranga’s competitive market, pre-approval can be the difference between securing your dream home in Pyes Pa or missing out because paperwork isn’t ready. We handle the submission and liaise with lenders so you can focus on finding the right property.

What’s Inside a Sale and Purchase Agreement

Once you’ve found a property, you’ll sign a Sale and Purchase Agreement — a legally binding contract that sets out the price, conditions, and dates. Common conditions include:

• Finance approval: confirmation from your lender that the loan is approved.
• LIM report: council record check for building consents, zoning, or flood risks.
• Builder’s report: independent inspection to ensure there are no structural surprises.

When all conditions are met, the contract becomes unconditional, and you’re committed to buying. We work alongside your lawyer to make sure all finance conditions are cleared on time.

How a Mortgage Broker Makes the Process Easier

Using an independent broker like Best Mortgages means you don’t need to approach every bank yourself. We compare policies and rates across multiple lenders — banks, non-banks, and specialist first-home programs — and explain your options in plain language. A recent Matua couple came to us after their bank declined them for “insufficient history.” We restructured their application, included the husband’s contract income, and gained approval with a lender that understood their situation. They moved into their first home within six weeks. That’s what a broker does — we bridge the gap between strict bank rules and real-world buyers.

Staying Supported After You Move In

Our job doesn’t stop at settlement. We check in regularly to ensure your loan still suits your goals, especially when rates change. Many clients later refinance to release equity for renovations or an investment property in Bethlehem or Welcome Bay. Homeownership isn’t a one-off transaction — it’s a long-term strategy, and we’re here for the entire journey.

Final Thoughts

Buying your first home can seem complex, but with guidance from a trusted mortgage broker in Tauranga, it becomes a clear, step-by-step process. At Best Mortgages, we combine local knowledge, lender relationships, and genuine care to help you turn “someday” into “settled.”

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