The Reserve Bank looks set to introduce new debt-to-income lending ratios to try to take some heat out of the market. Kiwibank economists today said that heat was "becoming unbearable" after new national house sale data emerged and the Reserve Bank was about to take a larger hose to it. The Reserve Bank doesn't see it that way and has expressed concern. High-risk debt continues to build so financial stability concerns have pushed the Reserve Bank to act," the economists said. Nelson house sale volumes halved in the year to July 2021 and Hawke's Bay sales fell by 28 per cent.

Source: New Zealand Herald August 11, 2021 22:17 UTC