Looking to grow your property portfolio? As experienced property investors ourselves, we understand the challenges of securing investment property finance in New Zealand. At OneStop Financial Solutions, we provide independent mortgage advice tailored to rental property investors. Whether you’re purchasing your first investment property or adding to an existing portfolio, our team is here to help.
Purchasing property for investment purposes requires more than just finding a loan. It requires strategic planning that considers tax implications, lending structures, and your long-term wealth-building goals. Here’s what makes working with OneStop Financial Solutions different:
We compare investment property loans from first-tier banks (ANZ, Westpac, BNZ, ASB, Kiwibank) and non-bank lenders. This means we can find competitive interest rates and lending criteria that suit your circumstances. This is important given the Reserve Bank’s LVR restrictions on investment lending.
Investment property finance isn’t just about the interest rate. We work alongside your accountant and legal advisers to structure your lending in a way that minimises tax, protects your assets, and maximises cash flow. This includes advice on interest-only vs principal and interest repayments, fixed vs floating rates, and whether cross-collateralisation or standalone security makes sense for your situation.
We don’t just arrange mortgages, we invest in property ourselves. This means we understand the real-world challenges of rental income fluctuations, vacancy periods, maintenance costs, and the current interest deductibility rules. We’ll share the lessons we’ve learned so you can avoid costly mistakes.
Every property investor has different goals. Some prioritise cash flow, others focus on capital growth, and many are building long-term wealth for retirement. We help you choose the right loan structure:
If you already own your home or existing investment properties, you may be able to use your equity as a deposit for your next purchase. We'll calculate your usable equity and help you understand your borrowing power without overextending your finances.
Interest-only loans allow you to pay only the interest portion of your mortgage for a set period. This maximises your cash flow from rental income and may provide tax advantages - though it's important to understand that you're not reducing your loan balance during this period. We'll help you weigh the pros and cons based on your investment strategy.
Fixed rates offer certainty of knowing exactly what your repayments will be for the fixed term. Floating rates provide flexibility, including the ability to make extra repayments without penalty. Many investors choose a split (combination) mortgage that offers the best of both worlds. We'll analyse current interest rate forecasts and recommend a structure that suits your risk tolerance.
These advanced lending features can help you reduce interest costs by using your savings to offset your mortgage balance. However, for investment properties, there are tax considerations around offset accounts that you should discuss with your accountant. We'll explain how these facilities work and whether they're right for your situation.
Under the Reserve Bank of New Zealand’s loan-to-value ratio (LVR) restrictions, most banks require a minimum 35% deposit for investment property purchases. Some lenders may accept 30% in certain circumstances. If you’re a first-time property investor without an existing home, you’ll need to save this deposit or consider alternative funding strategies.
Non-bank loans may offer higher LVR options (sometimes up to 80% or 90%), but generally at higher interest rates. We’ll help you compare the total cost of borrowing across different deposit scenarios so you can make an informed decision.
We start by understanding your financial situation, investment goals, and timeline. This includes reviewing your income, existing debts, current property equity, and long-term wealth-building objectives.
We calculate your serviceability across multiple lenders, factoring in your income, existing commitments, and projected rental income from the investment property. Each lender assesses rental income differently. Some use 100% while others use 75% or 80%, your borrowing power can vary significantly between banks.
We present your options with a clear comparison of interest rates, fees, features, and terms. We explain the pros and cons of each option and make a recommendation based on your circumstances. The final decision is always yours.
We handle the paperwork, liaise with the lender, and work with your solicitor to ensure a smooth settlement. We're with you every step of the way, and available by phone or email if you have questions.
I’m Matt Willoughby, founder of OneStop Financial Solutions and a licensed mortgage adviser with 10+ years of experience helping New Zealanders achieve their property investment goals. I operate under Financial Advice Provider Licence FSP702911, regulated by the Financial Markets Authority (FMA).
I own multiple investment properties and understand firsthand the financial and emotional journey of building a property portfolio.
When a Papakura couple approached us wanting to use their family home as a rental and purchase a new home to live in, they weren’t sure if it was financially possible. By restructuring their existing mortgage, accessing their equity, and finding the right lending structure, we helped them achieve both goals while saving thousands of dollars each year.
Using equity to buy an investment is a common strategy. Your usable equity is typically your property value minus what you owe, minus the bank’s minimum equity requirement (usually 20%). For example, if your home is worth $800,000 and you owe $400,000, you have $400,000 in equity—but your usable equity might be around $240,000 (after the bank retains 20% equity in your property). We can calculate this precisely based on your circumstances.
With interest-only, you pay only the interest charges, your loan balance doesn’t reduce. This maximises cash flow but means you’re not building equity through repayments. With principal and interest (P&I), each payment reduces your loan balance and interest charges. Most investors start with interest-only for cash flow, then switch to P&I as their portfolio matures.
New Zealand’s interest deductibility rules have changed in recent years, affecting how much mortgage interest you can claim as a tax deduction. The rules differ depending on when you purchased your property and whether it’s a new build. We recommend discussing your situation with your accountant, but we can explain how different loan structures might impact your tax position.
In most cases, using a mortgage broker to buy an investment property is free to you, as we are paid a commission by the lender when your loan settles. In some complex situations, we may charge a fee, but we’ll always discuss this with you upfront before proceeding. Our full fee structure is outlined in our disclosure statement.
Book a free, no-obligation consultation with Matt today. We work with clients throughout New Zealand by phone, video call, and email. You don’t need to visit our Auckland office unless you’d prefer to.
