RBNZ to re-impose loan-to-value limits from March 2021

New Zealand property

The Reserve Bank of New Zealand will re-impose loan-to-value ratios (LVRs) from March 2021, having previously relaxed the measure to help banks lend during the pandemic.

In its latest financial stability report, published today (November 25), the central bank said high-risk mortgage lending had increased recently alongside an “unexpected acceleration” in housing market activity.

“Some banks had eased maximum LVRs to property investors from 70% to 80%, and lending at these high LVRs increased

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: