VoiceOver users please use the tab key when navigating expanded menus
Cancel

Get data fail, please try again

    FULL RESULTS >

    ANZ moves to 60% LVR for residential property investors

    15 Dec 2020

    ANZ Bank NZ today announced it would require a 40% deposit from residential property investors as a step to bring balance to the housing market.

     

    Effective immediately, investors will need equity of 40%, up from the current 30%, when borrowing to buy residential property. There are no changes to deposit requirements for other residential buyers, including first home owners.

     

    ANZ Managing Director Personal Ben Kelleher said ANZ would also be recommending to the Reserve Bank of New Zealand (RBNZ) as part of the current consultation that loan-to-valuation ratios (LVR) be set at 60% for residential property investors, rather than the 70% that has been proposed.

     

    “We’ve been closely monitoring the impact on residential property prices of historically low interest rates, reduced LVR requirements and existing issues with supply and demand,” Mr Kelleher said.

     

    “Escalating property prices are putting home ownership out of reach for many Kiwis. The current settings favour property investors particularly over first home buyers, potentially locking a generation of New Zealanders out of home ownership.

     

    “It’s in everyone’s interests for residential property prices to be sustainable long term, and for home ownership to be accessible to as many people as possible.

     

    “As New Zealand’s largest home lender, decreasing the LVR on residential investor lending is one thing we can do to help bring balance to the residential property market.”

     

    ANZ has seen two record months of residential property lending with 32.4% going to residential property investors and 18.3% to first home buyers.

     

    He said ANZ would longer term be guided by the outcomes of the RBNZ’s consultation process early next year.

     

    For media enquiries contact: Kristy Martin +64 21531402

     

    Download PDF

     

    RECENT MEDIA RELEASES

    NZ Media Releases

    ANZ NZ to report annually on accessibility and inclusion

    ANZ Bank New Zealand has committed to reporting annually on its accessibility and inclusion efforts as part of the wider company’s Accessibility and Inclusion Plan.

    NZ Media Releases

    ANZ extends support for netball and Silver Ferns

    Netball New Zealand (NNZ) is delighted to announce ANZ’s increased investment and support for the world champion Silver Ferns and netball.

    NZ Media Releases

    ANZ changes rates for home loan, savings and term deposit accounts

    ANZ Bank New Zealand will increase interest rates on a number of savings, home loan, business and term investment products following the Reserve Bank of New Zealand’s decision to increase the Official Cash Rate.