The questions and original answers

I'm sorry you're having to navigate this alongside a separation. If you're hoping to keep the family home and take over the joint mortgage in New Zealand, the key thing is to show the lender that you can comfortably afford the repayments on your own, and that the loan still meets the lender's lending criteria.

The lender will usually want to assess your income, living costs, debts, the home loan itself and what your finances will look like after the separation. They may also need to assess how ownership of the property will be transferred and whether your former partner will receive a payout.

1. Your document checklist

You can start gathering the following before speaking to your bank or mortgage adviser.

1. Proof of income

• Your two or three most recent payslips.
• Employment contract or a letter from your employer confirming your salary, hours and employment status.
• Evidence of bonuses, overtime, allowances or other regular income, if applicable.
• If self-employed: your latest two years of financial statements and tax returns, if available.
• Evidence of any other income you expect to continue receiving, such as rental income or eligible government payments.

2. Your living expenses

Gather your last three months of bank statements, including accounts with other banks, and prepare a realistic monthly budget for living on your own.

Include:

• Food, power, internet, phone and household bills.
• Rates, home and contents insurance, and home maintenance.
• Transport, petrol, vehicle costs and insurance.
• Children’s expenses, childcare and school costs.
• Medical expenses, subscriptions, entertainment and other regular spending.
• Any child support or maintenance payments you make or receive.

The bank will want to understand your spending after the separation, not just what you spent when you shared costs. BNZ outlines similar evidence requirements in its home loan appointment checklist. Preparing for a home loan appointmentApplying for a loan checklist

3. All your debts and credit commitments

Prepare statements or current balances for:

• Credit cards, including their limits.
• Personal loans, car finance and buy-now-pay-later accounts.
• Student loan repayments, if applicable.
• Overdrafts, store cards and any other lending.
• Any other joint loans or guarantees you are responsible for.

Note which debts will be paid off, transferred or retained after the separation. Even a credit card you rarely use may affect the lender’s assessment.

4. Details of your home and current mortgage

Ask your bank for:

• The latest mortgage balance and loan statements.
• The current interest rate, fixed-rate expiry dates and remaining loan term.
• The current repayment amount and repayment frequency.
• Details of any revolving-credit facilities or offset accounts.
• Any early repayment or break costs that could arise if the loan is restructured.

Also gather:

• A recent property valuation or market appraisal; the lender may require its own valuation.
• Your latest council rates notice.
• Current house insurance details.
• Details of any other lending secured against the property.

These details help establish the home's approximate equity and how much lending you would need to retain it.

5. Your separation and property settlement documents

If you have them, gather:

• A draft or signed separation and relationship-property agreement.
• Any agreed property valuation and proposed division of equity.
• The amount you would need to pay your former partner to retain the house.
• Details of how that payment would be funded, including savings or any additional borrowing.
• Any relevant court orders or correspondence from your lawyer.

A written agreement about relationship property generally needs independent legal advice for both parties and must meet the legal requirements to be enforceable. Your lawyer can advise on the correct documentation and property transfer process. See the Ministry of Justice guidance. Separating from your spouse or partnerUnderstand relationship propertyDivide relationship property

6. Identification and other financial information

• Passport or New Zealand driver's licence.
• Proof of your current residential address, if requested.
• Statements showing savings and other assets.
• Details of KiwiSaver, investments and other property, where relevant.
• Evidence of any lump sum you plan to contribute towards the settlement.

2. Work out how much you need to borrow

Before approaching the lender, put together a simple estimate of the amount you need to finance.

For example, if the home is worth $800,000 and the mortgage balance is $400,000, the estimated equity is $400,000 before selling or settlement costs.

Item	Example
Estimated home value	$800,000
Current mortgage	$400,000
Estimated equity	$400,000
Former partner's proposed share of equity, if agreed at 50%	$200,000
Potential new borrowing, before costs and contributions	$600,000

This is only an illustration, not a determination of your legal entitlement. The actual settlement depends on your circumstances and agreement.

The important point is that you may need to qualify for more than the existing mortgage balance if you have to borrow money to pay your former partner their share.

3. How the lender will assess affordability

The lender will generally consider:

• Income: Is it reliable and sufficient on a single-income basis?
• Expenses: Can you meet your household costs as well as the mortgage?
• Existing debts: What other repayments or credit commitments do you have?
• Loan size: Is the proposed loan affordable under the lender's assessment, including its interest-rate and repayment assumptions?
• Property equity: Does the property's value provide acceptable security for the lending?
• Future changes: Are there foreseeable changes to income, childcare, maintenance payments or other costs?

A lender must make reasonable inquiries to assess whether you can repay the loan without substantial hardship. Its assessment may differ from your own budget. Record Keeping Guidance affordability assessments for borrowers and guarantors2. Preparing and applying :: Kāinga Ora

4. An important point about the joint mortgage

Moving out, separating, or agreeing that you will make the repayments does not automatically remove your former partner from the mortgage — or remove you from joint liability.

The lender must formally agree to the change. Depending on the bank and your circumstances, you may need a new loan in your sole name to refinance the joint lending. Until the lender formally releases a borrower or the existing loan is repaid, both borrowers may remain liable for the full debt. Relationship breakdowns and bankingCustomer not entitled to information about former partner’s home loan

Contact your current lender early and ask what it requires for a sole-borrower application. You can also use a mortgage adviser to compare options if your current bank cannot approve the amount you need.

5. Let's make this specific to your situation

If you tell me a few details, I can help you work out what to prepare first and how to estimate whether taking over the mortgage might be realistic.

Share whatever you know so far. Rough figures are fine; you can leave fields blank.