Want the best home loan? Then talk to us!

Confused as to where to start looking for the best home loan?  Well don’t be!

For some time now, Eric James & Associates have been providing clients with our independent mortgage service. This includes home owners, property investors, businesses and developers.  With Eric James & Associates independent home loan service it might cost you less than going direct to a bank. Plus saving you considerable time, confusion and worry as to whether you are getting the best loan possible to suit you.

Free Service*

No hidden mark-ups or fees will be added to your home loan. The loan we achieve for you is exactly at the same cost as if you had approached the bank or lending institution direct.  In fact, given our special volume transaction relationships with all of New Zealand’s major lenders we can, depending on circumstances, often save you money on establishment and administration fees associated with taking out a loan.
* Some commercial or development loans may incur a fee.

Quick, Easy & On-line

In most cases we can discuss your options by phone. No inconvenient appointments, waiting areas or interviews.  Once you have all your options and we have all your details we’ll simply make the best recommendation, then arrange for the paperwork to be completed as required.  It’s that easy. Of course in a few circumstances, a face to face meeting could be advisable particularly if the loan is a bit more complex. It’s simply then a matter of calling your Eric James & Associates Mobile Mortgage Advisor.

Security & Independence

Unlike some better known mortgage brokers, who only have a few lenders on offer, we have the widest range of lending options available. That includes some major banks that won’t deal with other brokers. More importantly when we negotiate the best home loan on your behalf the legal contract and payments are made direct to the bank or lending institution giving you that added security.

Why Us?

The biggest advantage of using Eric James & Associates for your home / business loan is the best value (and right advice) is not taken in isolation of your other financial commitments, lifestyle or protection needs.  Because we know you through our financial / protection services, we are better placed to give you the mortgage structure that best suits you commitments, aspirations and lifestyle.  So if you’re looking to buy a home (or business) for the first time or renegotiating an existing loan, call us at Eric James on 0800 374 252 for a no obligation chat.

STOP PRESS
A Moving Experience!

We’ve just moved our Head Office premises to 5/211 Ferry Road, Christchurch.  All our contact numbers, telephone, postal and email remain the same (which you’ll find on the back of this newsletter). If you’re ever in the neighbourhood, drop in as there will always be a warm welcome.

A Great Time to Buy?

We recently put that question to Harcourts Senior Property Consultant, John Morrison.  Here’s John’s response …. “In line with seasonal trends, there has been a noticeable increase in the number of properties listed for sale since late-January.  Recent Government discussions about changes to GST and tax changes that will inevitably impact on property investors have contributed to a slowdown in demand from this sector. Continued ‘doom and gloom’ stories in the media have resulted in a marked slowdown in the overall market over the past few weeks, although this can vary from property to property. More sellers are turning to Auction to sell their properties, partly as a way of pre-qualifying the potential buyer(s) for their home. Many are also prepared to offer flexible settlement terms, which can be useful if you’re looking to buy another home but need to sell your present one. We’ve also noticed that more buyers are turning to Mortgage Brokers to save time and help them get a ‘Pre-qualified’ finance package best-suited to their particular needs. Barring any unforeseen developments, we expect the market to remain relatively flat throughout the remainder of 2010, with most economic commentators predicting an upturn in prices in 2011. So now is actually a great time to be buying property …especially if you’re able to be in a ‘cash’ position.  But as always; whether buying or selling; it pays to get good advice first.”  John Morrison can be contacted at Harcourts Holmwood, Ilam, Christchurch at (03) 351 3002 or 027 536 0012

Protecting Your Biggest Asset

For most New Zealanders, their home is both their greatest asset and greatest financial liability. That’s why it’s important to have a protection policy in place should you suffer from unforeseen circumstances such as death, illness or injury. So what are the options?

Mortgage Protection
Sometimes referred to as mortgage repayment insurance, for many property owners this is a very sensible form of cover. Depending on the level of your premiums, you can ensure up to the full amount of your mortgage.  Should there be a death; the outstanding amount of the mortgage will be paid out in full as one lump sum. Should you suffer an illness or injury, your cover will ensure your mortgage payments are maintained until you are able to return to work.  An important point to note however is that, this form of protection does not cover other expenses, just the mortgage itself.

Income Protection
Unlike mortgage protection insurance, Income Protection replaces a percentage of lost income as a monthly benefit in the event of an illness or injury.  This can be used to cover usual on-going expenses such as clothing, food, household expenses and of course, if possible mortgage repayments. Most Income Protection policies however will only pay out a maximum of 75% of lost earnings which in some cases can mean a shortfall.

Which Option?
Which form of protection best suits you will vary from person to person.  In some cases, a Mortgage Protection policy might be adequate if you have other sources of income to cover day to day living expenses. Alternatively, just having Income Protection may create a financial shortfall ultimately affecting your ability to continue to make mortgage repayments. The best option might be for your advisor to design you a protection package that incorporates both mortgage and income protection ensuring that all financial and living commitments are adequately covered.

More Winners!

Our popular information stands at shopping malls, trade shows and exhibitions continues to reward new clients with a chance to win in one of our great prize draws.

Congratulations to our recent winners in Auckland and Christchurch. Receiving a cheque for $1,000.00 from Eric James & Associates’ Anthony Lethlean are Logan & Yvonne Dyson (picture left) of Hoon Hay, Christchurch. And television’s never going to look better after Clyde and Bridgette Farr (picture right) of Bucklands Beach, Auckland, won this fantastic flat screen model.

The True Cost of Stay-at Home Parents

Just because a stay-at home-parent doesn’t earn a salary, it doesn’t mean it wouldn’t hurt their family if they were to pass away.

Here are some statistics to help you when discussing the subject on insuring non working spouses. The site www.msn.com puts the value of a home-maker at $50,000 per annum!

Key costs to cover in the event of a death include:

Child Care
Day care centres for young children are not cheap and a full time nanny is even more expensive.  Typically they run at $ 200 per week, amounting to $ 10,400 a year.  Even if children are at school, arrangements may have to be made for after-school care.

Chef Duties
Due to work commitments, adding cooking to your daily routine can be quite impractical. Cooks can be hired at around $ 100 per week to cook your meals in advance.  This can cost up to $ 5,200 a year.

Maid Service
Cleaners cost about $25 per hour and are typically engaged for 3 hours per week.  That’s just under $ 4,000 a year.

Counsellor
Counselling services for family members should also be taken into account. Not is the homemaker the one that cooks, cleans and baby-sits. They are also the heart of the home. Losing them can be emotionally devastating and counselling is often required.  At upwards of $250 per hour, this can end up costing thousands!

You can also take into account the disruption to the surviving spouse/partner’s work and possible los of income. They’re unlikely to go straight back to work after the funeral, so taking a couple of months off is not uncommon.  For an income of $ 50,000 that could mean almost $.9.000 in lost earnings.

The average cost of all these services could obviously ruin the average middle income family with no life insurance coverage for the stay at home parent.  There are only 3 options for families that suffer the loss of a non-working spouse who doesn’t have cover……….

• Pay the expenses out of savings
• Add to the mortgage
• Take out a personal loan
• Sell your assets (boat, car, home)

But there’s a sensible, reliable and cost effective fifth option.  Ensure your stay at home partner has Life Cover – the most reliable option of all.

Talk to your Eric James advisor today as to how you can protect your family’s quality of life in the unforeseen advent of losing a loved one. FREE PHONE 0800 ERICJAMES

Sure We’ll Be Covered – Won’t We?

Someone said the other day “I probably don’t need Income Protection – ACC will look after me.”

Well, that’s not necessarily true.

ACC covers injury only, not illness.  And given the fact that illness prevents more than two thirds of people not being able to work, (with only about a third relating to injury) relying on an ACC payment, and all the restrictions that might go with it even if you do qualify), may result in inadequate compensation or possibly none at all.

In other words, there’s a far greater chance of not working as a result of an illness (which is not covered by ACC) than an injury.

That’s why many of our clients see having an Income Protection plan with us as a very wise choice.  The great thing about Income Protection is that it covers both injury and illness. Plus, it not only covers common, long term sicknesses, but also depression and mental illness.  And unlike ACC, you won’t face the prospect of being forced to seek alternative employment unrelated to your injury.

You can decide on your preferred level of contribution and the conditions that best suit your circumstances.  Income Protection can give you cover for up to 75% of lost income.  That means you will be able to:

• Pay your mortgage and protect the family home
• Pay food bills
• Pay essential services such as power, phone & rates
• Continue to provide any children with the day to day opportunities that are important.

There are of course some issues regarding existing medical conditions, And everyone’s circumstances are different we can then tailor make a policy that best suits you.  So why take the risk. Call us to today to find out how Income Protection is a very wise choice!

The Right Cover at the Right Time
There’s a saying that goes “the only constant thing in life is change”.  That’s why we believe that regular reviews of your existing cover is very important.

What was adequate or suitable say, 5 years ago, may not be now.  People’s lives are constantly changing and the level of protection combined with the right mix of benefits, needs to be relevant to your current lifestyle.

For example, you may now have a larger family or alternatively the kids have flown the nest.  Maybe there’s been a recent house purchase requiring a substantial mortgage – or your job and income has changed since taking out your original policy.

At Eric James & Associates we can, at no obligation, conduct a thorough, in-depth review of your current life-stage and recommend any changes to ensure the cover is up to date and relevant.  What’s more, we can develop packages that combine a number of products that can often result in a better level of protection and premium savings.

If your lifestyle and personal circumstances have changed since taking out your policy, please call us to arrange a comprehensive review.

Hang In There – It’s Your Future

As the media continues to predict gloom and doom in the economy, many New Zealanders are looking at how they can’ tighten their belts’ in an effort to cut spending where they can. And it’s quite understandable that insurance, along with other household spending, will come under the
spotlight with some of our clients. But the worsening economy now makes having adequate cover even more important. In fact, that’s why just about everyone takes out cover – to be able to protect their family, health & lifestyle in exactly this sort of economic climate.

In other words, during a recession when nothing is guaranteed, it can be much harder to make headway if something happened to your health
(therefore making it more difficult, if not impossible, for you to earn) than when things are buoyant. Therefore your insurance cover now plays a much more important role than ever. In fact, over the last few months we have experienced a significant number of clients actually increasing cover.

Flexibility’s The Key
Should you have no choice but to seriously consider cost savings, flexibility can be the key to continuing with protection. For example, you can temporarily downscale the amount of protection you have on your Life, Trauma or Income Protection policy resulting in lower premiums.

Alternatively, increasing the excess on a policy can also have savings benefits. Or maybe your family situation has changed with children no longer being dependant.

Cancellations Cost
Taking the drastic action of cancelling your policy will certainly cost you ‘peace of mind’ but could also have significant financial consequences in the future. That’s because nearly all our policies are “’ guaranteed renewable.’ For instance, if you took out a policy 5 years ago and your health was good, the conditions of cover continue each time you renew- even if your medical situation has since changed. But if you cancel now,
only to take up the policy when things get better, you’ll start from scratch again both in terms of premium cost and a medical reassessment. For some that can result in up to a 200% increase.

Your bottom line?
First, consider your current circumstances and if finances allow, increase the amount of protection you currently enjoy to further offset the economic uncertainty. Alternatively, if you have no other choice than to make cost savings, talk to your advisor as to how your current policies
can be fine-tuned temporarily to meet your situation.

And finally, if you are tempted to cancel, think seriously about the severe consequences of doing so, and talk to your advisor before making such a drastic decision.

At Eric James & Associates we’re happy to sit down with you at any time to review your current situation and ensure you continue to enjoy peace of mind regardless of your current financial situation.

FREE PHONE: 0800 ERIC JAMES (0800 374 252) or (03) 977 4400

What Cover Best Suits You?

More Prize Winners Enjoy the Benefits of Protection with Eric James & Associates If you are considering giving you and your family greater protection in these uncertain times or simply reviewing your current situation, the following is a general list of the types of cover available and their benefits.  All the types of cover differ in regard to terms and conditions, lump sums and payment options.

As individual circumstances differ from person to person, your Eric James & Associates’ Advisor can tailor–make a package that is unique to your lifestyle, financial situation and aspirations. Plus provide regular reviews to ensure your cover always remains relevant and cost effective.

Life Cover
This is a lump sum payment in the event of death or a terminal illness. It provides your family with a payment that replaces lost income or repayment of a debt (e.g. mortgage).
Life Income Cover
In the event of death or terminal illness, this type of policy provides your family with a regular monthly payment (to replace the loss of income so they don’t have to worry about their financial future.

Income Protection
A monthly payment if you are unable to work due to a disability as a result of an accident or illness. It allows you to maintain your lifestyle and
continue to plan for your future despite suffering a disability.

Medical Insurance
This provides for the reimbursement of major medical expenses. It allows you to gain immediate access to the best care available at a time when the last thing you want is to end up on a long, hospital waiting list.

Trauma Insurance
If you were to suffer a major event such as a heart attack, cancer or stroke for instance, this lump sum payment will give you the financial freedom to control you own destiny; seek alternative treatment; get the help you need or replace lost income.

Mortgage Replacement Cover
A monthly payment to cover the cost of your mortgage if you are unable to work due to a disability. You’ll have peace of mind knowing your home will remain secure.
Total and Permanent Disablement
This is a lump sum payment if you become totally or permanently disabled. You can use this sum to pay off debt, replace lost income, pay for
rehabilitation or any additional help you might need.

Waiver of Premium
Paying for your insurance will be one less thing you need worry about as this cover pays for your premiums if you are unable to work because of a disability.

Heart disease continues to be the number one killer of New Zealanders.

Here’s some general tips as to how you can help enjoy a healthy heart and active lifestyle.

TOP 10 TIPS FOR A HEALTHY HEART

1. Stop smoking
Quitting smoking is the single most important thing a person can do. If you are a smoker, you are twice as likely to have a heart attack than a non-smoker.

2. Cut down on salt
Too much salt can cause high blood pressure, which increases the risk of developing coronary heart disease.

3. Watch your diet
A healthy diet can help to reduce the risk of developing heart disease, and can also help increase the chances of survival after a heart attack. You should try to have a balanced diet, containing plenty of fresh fruit and vegetables

4. Monitor your alcohol
Too much alcohol can damage the heart muscle, increase blood pressure and also lead to weight gain. Binge drinking will increase your risk of having a heart attack.

5. Get active
The heart is a muscle and it needs exercise to keep fit so that it can pump blood efficiently round your body with each heart beat. You should aim for 30 minutes of moderate intensity exercise a day.

6. Manage your weight
The number of people who are overweight is rising fast. Carrying a lot of extra weight increases the risk of life-threatening conditions such as coronary heart disease and diabetes. Try to become more active.

7. Get your blood pressure and cholesterol levels checked by your GP
The higher your blood pressure, the shorter your life expectancy. People with high blood pressure run a higher risk of having a stroke or a heart attack.

8. Learn to manage your stress levels
If you find things are getting on top of you, you may fail to eat properly, smoke and drink too much and this may increase your risk of a heart attack.

9. Check your family history
If a close relative is at risk of developing coronary heart disease from smoking, high blood pressure, high cholesterol, lack of physical activity,  obesity and diabetes, then you could be at risk too.

10. Make sure you can recognise the early signs of coronary heart disease
Tightness or discomfort in the chest, neck, arm or stomach which comes on when you exert yourself but goes away with rest may be the first sign
of angina, which can lead to a heart attack if left untreated.

The winner of our recent Auckland promotion was “Jamie Kitzen & Justine Kaaka” of Papakura.
And in Christchurch our prize winner was “Jikita de Schot” of Halswell.