So, we’ve taken the most important lessons – things we wish we knew ourselves before buying – and turned them into this guide. If you’re just beginning your journey, these five insights could save you time, money, and stress.
One of the most common misconceptions is that a mortgage pre-approval means you’re fully funded and good to go. In reality, pre-approval is usually conditional and based on your current financial situation. It also depends on the property you decide to buy.
Many buyers get caught out when they find a home, only to be told the bank won’t approve the loan. Sometimes it’s because the title type is complex or the apartment is too small. Other times, it’s because the buyer has changed jobs, taken on extra debt, or the bank has updated its lending criteria.
What you want is confidence that your finance will hold right through to settlement. At Luminate, we review every property before you make an offer and help ensure that your approval remains valid and suitable for the home you're purchasing.
Saving for a deposit takes real effort, and it’s one of the biggest hurdles to buying a home. But it’s not the only cost you’ll face. Many first-home buyers are surprised by how quickly the extra expenses stack up.
As soon as you start house hunting seriously, the costs begin. Legal fees, building inspections, LIM reports, valuations, and loan application fees all add up. Then there’s insurance, council rates, moving costs, and furnishing your new home. Even things like power, water connections, and minor repairs can add financial pressure if you haven’t budgeted for them.
This is why we encourage all buyers to build a complete cost plan before they start viewing homes. At Luminate, we walk you through every likely expense, so you’re financially ready for what’s ahead and not caught short just before settlement.
Falling in love with a property is easy. But that doesn’t mean the bank will feel the same way. Not all properties are considered equal by lenders, and some homes can be surprisingly difficult to finance.
Apartments under 50 square metres, leasehold or cross-lease properties, homes in poor condition, or relocated houses often raise red flags. Even a property’s location or the nature of its title can make financing harder. In some cases, the bank will ask for a larger deposit, and in others, they may decline the loan outright.
This is where expert advice is crucial. At Luminate, we help assess the property before you commit to buying. We’ll tell you if it fits within lending criteria and, if it doesn’t, work with you to find a lender who’s a better match.
It’s common for first-home buyers to approach their everyday bank out of habit or loyalty. But while your bank might be familiar, it may not offer the best mortgage for your situation.
Every lender has different criteria, rates, and policies. Some are more flexible for first-home buyers, others offer better cashbacks or more attractive interest rates. Your bank might not allow split loans or offset accounts, and they might be more conservative with things like student loan debt or low-deposit approvals.
Working with a mortgage adviser gives you options. At Luminate, we compare multiple lenders and negotiate on your behalf. Our job is to find the right loan structure and deal for your specific goals, not just what your bank is offering.
Many first-home buyers focus so much on getting the loan approved that they overlook the structure of the loan itself. But this structure will shape your finances for years to come.
Choosing between fixed and floating interest, setting loan terms, and deciding whether to split your loan or use an offset account all affect how much interest you’ll pay and how fast you can repay the loan. Get it right, and you can save thousands. Get it wrong, and you might find yourself stuck in an inflexible setup with limited ability to make progress.
At Luminate, we ask the right questions from the start. Do you want flexibility to pay more when you can? Are you planning a family? Will your income change in the near future? We use these insights to tailor a loan structure that matches your lifestyle and your long-term goals.
Buying your first home should be exciting, not stressful. Yes, there’s a lot to consider, but with the right guidance and preparation, you can avoid the common pitfalls and move forward with clarity and confidence.
At Luminate Financial Group, we believe first-home buyers deserve more than just a quick approval. You deserve expert advice, practical planning, and someone in your corner who understands how the banks think – and how to make the system work for you.
If you're ready to take the next step, we’d love to help. Whether you’re still saving, actively house hunting, or making an offer tomorrow, we’re here to support you at every stage.
Book your free first-home strategy session today.
Let’s build your plan together, and make your homeownership dream a reality.
Visit www.luminate.co.nz |Email askus@luminate.co.nz | Call 0800 333 400