Shoot into home ownership faster with Launchpad

Feeling frustrated because you've got good income but not enough deposit for your first home? Launchpad helps buyers onto the property ladder with as little as 5% deposit.1

Male jumping on bed with women sitting in bed. Launchpad logo included.
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We've helped tons of Kiwi get into their first homes with our exclusive Launchpad loan, and we'd love to help you too.

Launchpad is tailored towards those of you who don’t quite fit in the banks’ box, and haven’t got access to the ‘bank of parents’ but are able to afford the mortgage. 

  • Buy with as little as 5% deposit 
  • Competitive interest rates 
  • Best of all, it’s a leg up onto the property ladder 

Read on to find out if you're eligible.

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Launchpad is made up of two loans, set up in a way that helps you pay them off faster

There's the base loan which is for 80% of the value of the house.

The second bit is what we lend you, to make up the rest of your house deposit. Think of it like the bank of mum and dad, but without the awkward conversation.

JC

Joan Concepcion

New Zealand

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We just heard their product launchpad and decided to give it a try. Our mortgage advisor Jessica Carr was so helpful and fast forward 3 months after our initial inquiry, we are now owning our house thanks to Jess and launchpad. 5 star for fast processing, friendly, professional, and reliable service from Jess. I highly recommend her and this company.

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Who's eligible for Launchpad?

While we're able to be more flexible than the banks, sadly we can't lend to everyone. To apply, you'll need to be able to tick these boxes:

  1. First home buyer
  2. 5% genuine saved deposit (includes KiwiSaver)
  3. On PAYE or a fixed-term contract for at least a year2
  4. Intending to live in the property
  5. Buying in a metro location


As a rule of thumb, if you're buying within 10km of a Macca's and it's not a lifestyle block, the property is likely to be eligible location-wise.

Why can Squirrel offer Launchpad when others can't?

Every day we talk to frustrated first home buyers with excellent stable income but to get a deposit up to 20% in today’s housing market takes years. It’s a common story. You’re ready and can afford to take on a mortgage but the bank won’t let you. Kāinga Ora isn’t an option for higher earners due to income caps and house price caps. It just isn’t fair, right?

That’s where we saw a gap, so we're filling it. Squirrel is in a unique position that we are both a broker and a lender, enabling us to do what other brokers or lenders can’t. We engineered the Launchpad process to enable you, the buyer, to shoot into home ownership faster.

Hand holding toy wooden house by piece of string, with Launchpad logo

Your deposit amount will depend on the house price. Here's a guide:

House price Maximum LVR (Loan-to-value ratio) Minimum deposit Launchpad Loan
$1,100,000 91% $100,000 $1,000,000
$1,000,000 92% $80,000 $920,000
$900,000 93% $60,000 $840,000
$800,000 95% $40,000 $760,000
$700,000 95% $35,000 $665,000


For properties with a price above $800,000 you'll need more than 5% deposit because the maximum Equity Loan amount we are able to lend with Launchpad is $120,000.

How does it work? Well, we did some creative thinking for this one. The loan is in two parts which are set up in a way that helps you pay it off faster:

The Base Loan (80%)

This is the bulk of your loan, set up with a floating interest rate. Payments start off as interest-only so you can focus on paying off the smaller, more expensive Equity Loan first.

  • Floating interest rate:3 8.50%p.a.
  • Repayments: Interest-only (first 5 years)4
  • Term: 30 years

The Equity Loan (up to 15%)

This part of your loan is peer-to-peer funded. It's a bit like getting help from your parents, but without any awkward conversations. You can make extra payments on this loan whenever you like at no extra cost, to get rid of it faster.

  • Interest rate:3 9.95%p.a.
  • Repayments: Principal and interest
  • Term: 5 years
  • Maximum amount: $120,000 (meaning if the house price is above $800,000 you'll need more than 5% deposit)
Apply for Launchpad now
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Let's take a look at a real life example

Brooke and Jamie find a house for $800,000. They have a combined income of $160,000 and have saved up a 5% deposit of $40,000. This is how their launchpad loan works:

House value $800,000    
Deposit $40,000    
LVR 95%    
Equity Loan $120,000 9.95%p.a. interest rate $2,547 monthly repayment
Base Loan $640,000 8.50%p.a. floating rate $4,620 monthly repayment*
Total Loan $760,000 8.73%p.a. interest rate $7,167 monthly repayment*
Total interest over 30 years (for both loans) $1,436,379    
Total cost (incl. principal repayment) $2,196,379    


*Repayments based on being interest-only on a 5 year term at the interest rate specified. This is a hypothetical example only. Interest rates are subject to change.

The process

In a nutshell, here's how the process of buying a house with Launchpad works:

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1. Apply online

Our online application takes minutes to fill out, and can be filled out here.

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2. A mortgage adviser will be in touch

We'll take a look at the details provided in your chat about whether Launchpad is right for you.

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3. We'll run some calculations

Providing everything stacks up, we'll send you an indicative offer with details outlining next steps.

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4. You'll start the house hunt

Once you've found a place you like, we'll get a formal approval for you to proceed. We'll then make sure the property is suitable and run a credit check.

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5. Approval for funding

As long as everything is shipshape, we'll give you the green light and process the funding. The $950 establishment fee can be paid at this point or we can absorb it into the loan.

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6. We'll sit down and decide your loan structure

We'll have a meeting with you to set up the mortgage structure in the best way possible to work with you and your lifestyle.

Keen to get the ball rolling?

To get started, simply fill in our online application and we'll be in touch with next steps.

FAQs

We've answered a few commonly asked questions below.

1 Loan approvals are subject to Squirrel's full lending criteria. T&Cs apply.
2 Individuals who are self-employed are not eligible.
3 Interest rates are subject to change. 
4 The loan will convert to principal and interest after the initial five year period.

Don’t just take our word for it

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See for yourself what our clients think with 1,453 five star reviews on Shopper Approved.

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Fraser Worthington

New Zealand

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Aatish is excellent to deal with. Gave great advice and guidance through the process. A++, would trade again.

M

Mario

New Zealand

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We dealt with Emma Wallace for our first home purchase and she was excellent. Emma is knowledgeable and very sensible, she gives the necessary information and makes things easy to understand. I would highly recommend Emma to anyone who looking to buy a property.

LaE

Lisa and Erick

New Zealand

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Tessa was amazing, she kept us on track, and explained everything- we always knew what was happening. Her responsiveness was excellent, she was a real legend. We are so so happy with the result and will recommend her to everyone we know!

S

Scott

New Zealand

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Mayank was fantastic and a pleasure to work with.