VoiceOver users please use the tab key when navigating expanded menus

ANZ changes rules on small apartment lending

ANZ Bank New Zealand is changing its lending rules on small apartments to help more customers on to the property ladder.


ANZ is reducing the apartment size at which it will require customers to have a higher deposit.


Under the new rules, customers only need a 20% deposit for freehold, standard apartments that are 38 square metres or larger.

Previously, any apartments smaller than 45 square metres required a 50% deposit.


“As New Zealand’s largest lender, we want to do our bit to help people on to the property ladder,” ANZ NZ Managing Director Personal, Ben Kelleher said.


“Apartments are often a more affordable entry point into the housing market. In addition, as cities intensify, apartments are becoming more common and popular choices for home buyers.


“Lending for apartments does carry more risk than for other property, and we’ll still need a higher, 50% deposit for smaller apartments below 38 square metres and other, non-standard apartments like leasehold or studio apartments. Higher risks can include the ability for the property to maintain its value and increase over time, building defects, the quality of the body corporate, and leasehold tenure.


“However, it’s important that home ownership is accessible to as many Kiwis as possible. So, we’ve changed our rules to unlock a wider range of apartments at lower deposits, as an affordable property option for more people.”


To note, under ANZ’s rules a standard apartment must have a bedroom separate from the living area. Usual ANZ lending criteria, terms, conditions, and fees apply.


These changes are effective immediately.

 

 

Download PDF

 

RECENT MEDIA RELEASES

ANZ NZ’s investment in AgriZeroNZ boosts farm emissions reduction research.

ANZ to invest $4 million in AgriZeroNZ

Beware of phishing scams - they open the door to more serious crimes

Following the Easter weekend ANZ is urging people to watch out for phishing scams

Don't become a money mule - ANZ warns criminals are targeting young New Zealanders with the promise of easy money

ANZ Bank New Zealand is warning of a rise in scams involving people becoming money mules, either unknowingly or willingly.