{
  "id": 5373250,
  "title": "How first-home buyers are getting low-deposit loans",
  "url": "https://urgent.news/2026/09/03/how-first-home-buyers-are-getting-low-deposit-loans",
  "topic": "business",
  "section": "Business",
  "published": "2026-09-03T17:12:43.000Z",
  "source": {
    "name": "RNZ Business",
    "slug": "rnz-business",
    "url": "https://www.rnz.co.nz/news/personal-finance/1250872/how-first-home-buyers-are-getting-low-deposit-loans"
  },
  "original_language": "en",
  "account": "In July, mortgage advisers observed a significant increase in low-deposit loans, with $1.261 billion of new loans issued to borrowers who had less than 20 percent equity. This marks a notable rise compared to July 2019, where such loans accounted for only about 16 percent of all lending to owner-occupiers. Mortgage adviser Campbell Hastie of Hastie Mortgages explains that in 2021, approximately 25 percent of first-home buyers were operating with a low deposit. He attributes this increase to the high prices in markets like Auckland's North Shore and Hibiscus Coast, where a first home can easily cost $850,000 to $1 million. Hastie notes that hitting a 20 percent deposit threshold is challenging, especially with savings and KiwiSaver. He observes that he rarely encounters borrowers with a 20 percent deposit these days, as even 10 percent of a million dollars is a substantial amount. Low-deposit borrowers often face higher interest rates and fees until they reach 20 percent equity. Mortgage advisers suggest several steps to improve the chances of obtaining low-deposit lending, but the process can be more difficult for some than for others. Factors such as a clean account conduct, good savings history, and a solid income can positively influence a lender's decision. Despite the challenges, experts like Bruce Patten from NZ Financial Services Group remain optimistic about the current market. He believes the increased availability of low-deposit loans reflects a favorable environment for first-time buyers, mainly due to their two incomes and lower price points.",
  "summary": "Reserve Bank data shows there was $1.261 billion of new loans to borrowers with less than 20 percent equity or deposit in July, about twice the level of July 2019.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}