Reported 4 months ago
New Zealand's central bank has introduced limits on housing finance lenders to restrict high-debt borrowing relative to incomes, aiming to reduce default risks in the country's volatile housing market. The new rules, effective from July 1, will apply to new lending for residential properties and coincide with eased loan-to-value ratio restrictions. The move, not impacting monetary policy, aims to enhance financial system resilience, although regional disparities in house price-to-income levels may influence investor behavior.
Source: YAHOO