SBS Bank Mortgage NZ SBS Bank NZ
5.60% initial
- Initial Rate: 5.60% (often market-best fixed)
- Loan-to-Value: 80% LTV
- Initial Period: 1 or 2-yr fixed
- Key Feature: SBS Building Society; member-owned; often NZ's lowest published rate; Invercargill-based
Compare the top mortgages providers in New Zealand — see cover, features and typical rates side by side.
21 live offers compared from 11 providers, from 5.60% initial. Updated daily.
5.60% initial
5.65% initial
5.69% initial
5.75% initial
5.79% initial
5.80% initial
6.29% initial
6.35% initial
6.59% initial
6.59% initial
6.79% initial
6.89% initial
6.89% initial
6.95% initial
6.99% initial
6.99% initial
7.09% initial
7.09% initial
7.09% initial
7.09% initial
7.15% initial
A mortgage is a loan secured against property, used to buy a home or investment and repaid with interest over a long term, typically up to 30 years. In New Zealand, most borrowers fix their interest rate for a set period — commonly six months to five years — rather than staying on a floating rate, then refix when each term ends. With home ownership central to New Zealand life and prices high in main centres, choosing the right lender, rate and structure has a big impact on total interest paid over the life of the loan.
The main banks — ANZ, ASB, BNZ, Westpac and Kiwibank — provide most home lending, alongside smaller banks like SBS, TSB and The Co-operative Bank, and non-bank lenders for borrowers who don't fit standard criteria. Many buyers use mortgage advisers (brokers) who compare lenders at no direct cost. The Reserve Bank of New Zealand influences the market through the Official Cash Rate and lending restrictions such as loan-to-value ratio (LVR) limits and debt-to-income (DTI) rules that shape how much you can borrow relative to deposit and income.
Home ownership — A mortgage makes buying possible without paying the full price up front.
Rate certainty — Fixing your rate locks repayments for the term, protecting against rate rises.
Flexible structures — Split loans, offset and revolving-credit facilities let you manage interest and repayments.
Competition on rate — Multiple banks and advisers mean you can negotiate rates and cash contributions.
Compare not just the headline rate but the whole package: cash-back contributions banks offer at settlement, fees, and how the rate looks across the fixing terms you're considering. Decide how much to fix and for how long — many borrowers split their loan across two or more fixed terms to balance certainty against flexibility. Check your deposit against LVR rules (a deposit below 20% may attract a low-equity premium) and your borrowing capacity against DTI limits. Using a mortgage adviser can surface deals across lenders and help structure the loan.
ANZ is the largest home lender, with ASB, BNZ and Westpac close behind and Kiwibank the leading domestically owned option. SBS Bank, TSB and The Co-operative Bank compete strongly, often on rate or service, and non-bank lenders serve self-employed or non-standard borrowers. Advertised fixed rates across the market currently sit roughly between 5.6% and 7.15% depending on term, deposit and lender, with the sharpest carded rates usually on popular one- and two-year fixed terms and for borrowers with strong equity.
The main cost is interest. Current New Zealand fixed rates range from about 5.6% to 7.15% depending on the fixing term, your deposit size and the lender, with floating rates typically higher. On a large loan, even a small rate difference or a bank's cash contribution can be worth thousands. Additional costs include legal fees, a valuation if required, and a possible low-equity premium if your deposit is under 20%. Breaking a fixed term early can trigger a break cost, so weigh flexibility against the lower fixed rate.
Home lending is regulated under the Credit Contracts and Consumer Finance Act (CCCFA), overseen by the Commerce Commission, which requires responsible lending, clear disclosure of rates and fees, and fair treatment in hardship. Banks are prudentially supervised by the Reserve Bank of New Zealand, which sets LVR and DTI restrictions to protect financial stability. Mortgage advisers operate under the FMA's financial-advice regime. Lenders must belong to a dispute-resolution scheme, and the Property Law Act governs the mortgage and any mortgagee-sale process.
Should I fix or float? — Most New Zealand borrowers fix for certainty, often splitting across terms; floating offers flexibility to repay faster but usually at a higher rate.
How big a deposit do I need? — Typically 20% to avoid a low-equity premium, though some lending is available with less, subject to LVR rules.
Is a mortgage adviser worth using? — Often yes; advisers compare lenders and structure your loan, usually at no direct cost to you.
Giraffy tracks 5 home loan products across SBS Bank NZ,Kiwibank,ASB,BNZ,ANZ NZ lenders in New Zealand. Use the sort and filter controls to compare fixed versus variable rates and initial deal lengths.
A fixed-rate home loan locks your interest rate for a set period — typically 2, 5, or 10 years — giving payment certainty. A variable rate moves with the central bank benchmark rate set by the Reserve Bank of New Zealand (RBNZ). Fixed rates suit those who want stability; variable suits those who expect rates to fall.
Most lenders apply an income multiple — typically 4–5× your gross annual income for a conventional home loan. Affordability assessments also factor in outgoings, existing debts, and the property's loan-to-value (LTV) ratio. A home loan adviser or broker can run a full affordability assessment for free.
Loan-to-Value (LTV) is the home loan amount as a percentage of the property's value. A 90% LTV means you're borrowing 90% and putting down 10% as a deposit. Lower LTV means less risk for the lender — you'll typically be offered a lower interest rate with a deposit of 20–25% or more.
An indicative approval can usually be obtained the same day online. Full home loan approval — after property valuation and underwriting — typically takes 2–6 weeks. Having all your documents ready (pay stubs, bank statements, ID) speeds up the process significantly.
Sharia-compliant home-finance products structure the transaction without interest, typically through Murabaha (cost-plus financing) or Ijara (lease-to-own) arrangements. Check with individual lenders for availability in your market.
Lenders often charge arrangement, origination, or application fees to set up a home loan — amounts vary by lender and market. You can usually add them to the loan, but you'll pay interest on them for the full term. For large loans, a higher-fee/lower-rate deal may be cheaper overall — compare total cost over the initial fixed period.