Tighter LVR restrictions for owner-occupiers

Another smack in the mouth for first home buyers. RBNZ should be ashamed.

It pointed out that exemptions to LVR restrictions, such as the Kāinga Ora First Home Loan and loans for new builds, would "continue to support access for first-home buyers". Sigh......given that the house price caps for existing properties are only $625,000 in Auckland & $550,000 in Wellington (no point mentioning new build homes are higher because you are likely wasting your time finding a property at this level) the First Home Loan scheme offers next to no support for those first home buyers in these areas without access to a 20 percent deposit. Can we get serious now? I mean seriously, can we just get serious? If this woolly minded academic reasoning from the Reserve Bank's upper echelon's continues pretty soon the average Kiwi's goal of owning their first home will slip from their grasp. Respectfully it's time for a select committee on the competency of the current Reserve Bank management team. Even suggesting that the Kāinga Ora First Home Loan will counter lenders been forced now to reduce the number of their low deposit loans shows a breath-taking ignorance of where house prices in our two biggest cites now sit. What on earth is going on up there at 2 The Terrace Wellington? Lots of big fat salaries been paid by the NZ taxpayer but we sure as heck aren't getting value for our money!

RB are clowns Labour said don't stop First home buyers this will reduce them by close to 50% And so are labour

Unfortunately, this policy will hurt the very people the government is supposed to help.

The RBNZ fueled the fire of asset appreciation (property in this case) by injecting cheap money into the system, removing LVR's. Surely they must have known that rising property prices was going to be a consequence of this? Their actions now will not just impact FHB's wanting to start, but the recent home buyers in the last 18 months, as their properties values drop and potentially put them into negative equity positions. Doing this plus the other tools they are considering using (DTI's, Minimum Test Interest Rates) could drastically take the property market in the other direction, at a pace the RBNZ hasn't considered, which will impact the wider economy for the worse! Just at a time when businesses are struggling. These prvileged few at the RBNZ are VERY MUCH out of touch with the rest of NZ and the wider economy.