Usable Equity Calculator
Calculate your maximum deposit for buying a new home or funding renovations.
Sitting on lazy equity? Let’s put it to work.
If you own property in New Zealand, you might be sitting on a goldmine of untapped funds. But figuring out exactly how much the bank will actually let you use can be a headache of LVR limits and cross-collateralization rules.
Our Usable Equity Calculator takes your current home (or your entire investment portfolio) and calculates your exact "War Chest"—the maximum deposit you can unlock to buy your next home, secure an investment property, or fund that massive renovation.
What is Usable Equity? Usable equity is the portion of your property's value that banks will let you borrow against. In New Zealand, banks typically let you borrow up to 80% of an owner-occupied property's value, and 70% of an investment property's value. Your usable equity is that maximum borrowing limit, minus what you currently owe on your mortgage.
Finding out you have $150,000 in usable equity is a great feeling, but what can you actually do with it? Depending on the lender, you can top up your mortgage to:
- Buy your next property: Use the equity as a 100% cash-free deposit for an investment property or a new family home.
- Renovate: Upgrade your kitchen, add an extension, or build a minor dwelling to increase your yield.
- Lifestyle upgrades: Top up to buy a new car, fund a wedding, or take that long-overdue overseas holiday.
_Icon.avif){kind=icon}
