RBNZ signals national roll-out of lending restrictions from September

Mon, 18 Jul 2016

By Paul McBeth July 19 (BusinessDesk) - The Reserve Bank plans to roll-out tougher lending restrictions across the nation from September in an effort to mitigate the risk the country's rapid house price growth poses to the wider financial system. The central bank wants to cap bank lending to property investors with a deposit of less than 40 percent at 5 percent and restore the 10 percent limit for owner-occupiers wanting to take out a mortgage with a deposit of less than 20 percent, according to a consultation paper released today. The p...

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