GST loan facility
We’ll fund the GST amount* towards your deposit or renovations. After settlement, claim GST and repay Flexy.
Loans for GST registered property traders
and developers
Purchase price
$800,000
Finbase
$560K
70%
Flexy
$100K
12.5%
Cash
$140K
17.5%
First mortgage
Second mortgage
Your cash
Example:
Settle a fix-and-flip project with a 17.5% cash deposit
You purchase an $800,000 property. Here’s how the Flexy GST Facility can increase your LVR to make the settlement easier:
-
First Mortgage Lender: Provides 70% of the purchase price ($560,000).
-
Flexy GST Facility: Adds another 12.5% of the purchase price ($100,000), increasing the total funding to 82.5% LVR.
-
Your Cash Deposit: You only need to contribute 17.5% ($140,000) as your initial deposit.
Once the property settles, you claim your GST refund from the IRD (typically within 30 days) and use it to repay Flexy. This reduces your total debt back to $560,000, improving your cash flow and leaving you with a more manageable debt structure.
This approach helps property traders minimise upfront cash requirements while keeping their projects on track.
Finbase
$560K
70%
First mortgage
Cash
$140K
17.5%
Your
cash
Flexy
$100K
12.5%
Second mortgage
Purchase price
$800,000
01
Get started
Send details of your deal before settlement. You can send them via email at hello@flexy.co.nz or online here
02
Quick response
Flexy will review, and if approved, respond swiftly with a Loan Offer. We aim to approve loans on the same day.
03
Settlement day
On settlement day, Flexy provides funds to your solicitor for a deposit top-up or to your bank account for renovations.
03
Claim GST and repay
After settling, claim GST on the property purchase with the IRD.
Use your GST refund to repay the Flexy loan, completing the process seamlessly.
How Flexy works
There is an establishment fee, legal costs for security registration and AML which are all capitalised into the loan, including the first month’s interest payment. Full costs will be provided on application. You can get a quick indication of fees on our Google Sheets calculator here.
The current interest rate starts at 1.95% of the outstanding loan balance per month. You can get a quick indication of fees on our Google Sheets calculator here.
The loan term is 3 months. Most loans are repaid between 30-60 days once the IRD provides the GST refund. The minimum loan term is one month.
While the maximum loan term is three months, Flexy considers individual circumstances and may work with borrowers to renew the loan, especially in cases involving IRD delays.
Security is in the form of a mortgage, no lesser than second ranking.
The Flexy GST Facility is for properties subject to GST at 15%. Residential properties typically qualify, but most commercial ones don’t as they are zero rated.
We only need the sale and purchase agreement if using the GST Facility.
Frequently asked questions
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Funds must be borrowed for investment-related purposes only.
-
Borrowers must settle the property into a GST registered entity.
-
Flexy cannot be used for zero-rated GST purchases.
-
Security over the project, or suitable property required.
-
Borrowers must promptly claim GST on the property purchase.
-
Borrowers must not have any overdue IRD accounts that could impact the GST refund process.
-
If selling another property in the same GST period as the new settlement, the borrower must ensure the GST refund and cash reserves cover the Flexy loan repayment on the due date.
-
Full terms and conditions are provided with the loan offer.
Eligibility criteria
The GST Loan Facility is for GST registered property traders and developers.
If you are not GST registered, you can still apply for a renovation loan here.
-
Funds must be borrowed for investment-related purposes only.
-
Borrowers must settle the property into a GST registered entity.
-
Flexy cannot be used for zero-rated GST purchases.
-
Security over the project, or suitable property required.
-
Borrowers must promptly claim GST on the property purchase.
-
Borrowers must not have any overdue IRD accounts that could impact the GST refund process.
-
If selling another property in the same GST period as the new settlement, the borrower must ensure the GST refund and cash reserves cover the Flexy loan repayment on the due date.
-
Full terms and conditions are provided with the loan offer.
For GST registered property traders
and developers
Example:
Use your GST refund to settle a fix-and-flip project with a 27.5% cash deposit
An $800,000 property is purchased. Below is a loan structure using the Flexy GST Facility and Finbase as the first mortgage lender. Flexy advanced 12.5% of the purchase price which the investor used as cash towards settlement. The investor only needed a 27.5% cash deposit to complete the settlement. After only 30 days, the IRD GST refund was used to repay Flexy, lowering the amount of debt on the project back to $480k.
Finbase
$480K
60%
Cash
$220K
27.5%
Flexy
$100K
12.5%
For GST registered property traders
and developers
Example:
Use your GST refund to settle a fix-and-flip project with a 27.5% cash deposit
An $800,000 property is purchased. Below is a loan structure using the Flexy GST Facility and Finbase as the first mortgage lender. Flexy advanced 12.5% of the purchase price which the investor used as cash towards settlement. The investor only needed a 27.5% cash deposit to complete the settlement. After only 30 days, the IRD GST refund was used to repay Flexy, lowering the amount of debt on the project back to $480k.
Purchase price
$800,000
