Rush on valuers as owners seek equity
Increasing numbers of Aucklanders who bought their homes with small deposits are having them revalued to find out if recent price increases have been enough to give them more equity. The city's house prices are increasing at a rate of about 13 per cent year-on-year.
Having more equity has become more desirable since the Reserve Bank introduced new limits this month on the amount of lending banks can do to low-deposit borrowers.
Only one in 10 of banks' new loans can be made to borrowers with equity or a deposit of less than 20 per cent of the home's value.
That means people with more equity can negotiate better deals.
Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.
You will also be able to comment on articles on Good Returns.
