How Long Does It Take to Refinance a Mortgage in NZ?
A straightforward refinance takes a few weeks from application to settlement. Here's what happens in each of them, and the things that slow it down.
The short answer
Allow three to six weeks for a standard refinance where you're employed, the property is an ordinary house and you have at least 20% equity. It can be done faster. It often takes longer when income is complicated or a valuation is needed.
Because the cheapest day to move is the day a fixed term ends, we suggest starting six to eight weeks before that date.
What happens, week by week
| Stage | What happens | Typical time |
|---|---|---|
| Review | We collect your loan details, income and goals, then compare your bank's offer with other lenders. | A few days |
| Application | You send documents. We submit to the lender that fits best. | Up to a week, mostly waiting on documents |
| Assessment | The lender checks income, spending, credit history and the property. | A few days to two weeks, depending on how busy the lender is |
| Approval and conditions | You get a written approval. Any conditions, such as a valuation, are met. | A few days |
| Legal work | The lender sends documents to your lawyer. You sign. | About a week |
| Settlement | The new loan repays the old one. The old mortgage is discharged. | One day |
Those times are our experience of typical cases, not a promise. Lender turnaround moves around with demand, and it tends to stretch when rates are falling and everyone is switching at once.
What slows a refinance down
- Missing documents. The most common delay by a distance. Having everything ready at the start can save a week. Our refinance document checklist lists what to gather.
- Valuations. If the lender needs a registered valuation, add several days for the valuer to visit and report.
- Self-employed income. Lenders want finalised accounts, and they ask more questions.
- Notice periods. Some lenders ask for notice before full repayment. Your lawyer requests the repayment figure early for this reason.
- Trusts and companies. More documents to sign, and sometimes independent legal advice for guarantors.
If your fixed term ends before the new loan is ready
Don't panic and don't refix for a long term just to fill the gap. Your loan simply moves to your bank's floating rate, which you can leave at any time without a break fee. A few weeks on floating usually costs far less than locking in the wrong fixed term. The refix guide covers this.
This article explains how New Zealand lenders generally assess these situations. It is general information, not personalised financial advice, and lender policy changes often — check your own position with a registered adviser. Official sources: Reserve Bank of New Zealand for lending policy and the OCR, and Sorted.org.nz for independent government-backed money guidance.
Refinance timing: common questions
Fixed rate ending in the next few months?
Tell us the date and your balance. We'll work back from it so the comparison is done and the switch, if there is one, lands on the right day.
- ✓ Your bank's offer compared with the 23 lenders on our panel
- ✓ Break fees, legal costs and any cashback clawback worked out first
- ✓ We only recommend switching when the numbers work
- ✓ No fee on residential home loans: the lender pays us
Finch Mortgages Limited (FSP1011125) is an Authorised Body under Finsure New Zealand Limited's financial advice provider licence (FSP1005389). Disclosure statement