General Finance

General Finance Limited, a subsidiary of Cairns Lockie Limited, is a wholly New Zealand owned and operated real estate financier specializing in origination and management of residential mortgage and home loans. The company does not offer commercial mortgages or loans for property development. It has its own premises in Greenlane, Auckland. General Finance is one of the leading mortgage providers in the Pacific region in particular and the world in general. Net Surplus of the company (taking into account extraordinary items) for the fiscal year 2006 stood at NZ $ 317,282.

Loans offered by General Finance are mainly of non-conforming and prime type. Non-conforming residential mortgages are those outside the trading bank curriculum. The majority of mortgages originated are financed by wholesale funding bodies with the financing companies such as General Finance taking into account factors such as fluctuations in interest rates, foreign exchange and collateral to register the security.

General Finance is also a mortgage loan originator with providing mortgage advances through its network of brokers. The company now functions as an established residential mortgage lender and targets at expansion of its business through intermediaries such as mortgage brokers, financial planners and insurance agents.

Some of the regular borrowing rates for first mortgages range from 10.05% for regular home loans, jumbo loans and 100% home loans (with fixed and variable rates on first mortgage portion). However, the line of credit mortgage rates and bridging finance mortgage rates are 10.10% and 9.80% respectively. The range of non-conforming home loans and fresh start home loans are respectively 11.25%-13.25% and 8.75%-13.25%.

Some of the other facilities offered by the company include second mortgages, equity release mortgages, business equity home loans and construction loans. General Finance is an expert in refinancing which helps in organizing the repayment of the existing mortgage and settlement of the legal procedures.

Second mortgage loans offered by General Mortgage are structured on short term accommodation secured over good quality residential properties. The securities which can be pledged are all types of residential properties, single dwelling properties, flats and lifestyle blocks. The loan amounts can range from NZ $ 5000 to $60,000 and repayment periods from 1month to 24 months. Second mortgages are offered on fixed rates and can be fully amortizing, partly amortizing or can be interest only loans. Up to 75% loan-to-value ratio are offered on second mortgages.

General features of General Finance include online application options and regular updates of interest rates over the internet. There is also a loan calculator in place to help know deals individuals qualify for depending on the amount of loan applied for, the purchase price of the house, the tenure of the repayment period and the credit rating of the individual. General Finance offers residential mortgages for people with less than perfect credit as well.

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