Having kept the loan-to-value ratio (LVR) restrictions in place for nearly seven years since 2013, the New Zealand Reserve Bank gives banks seven days notice that they plan to remove LVR restrictions on residential mortgage lending for at least a year.

Reserve Bank proposes to remove the LVR restrictions?

Since this breaking news released this week, we received a lot of enquiries with people asking if they can now borrow without the deposit. In this video, we’d like to answer this question plus some other questions you might have in mind:

• The LVR rules have been removed, what does it mean? 00:06
• The change, if effected, how will this impact first-home buyers, business owners and current property market? 02:04
• Why does the Reserve Bank consider removing LVR restrictions in response to COVID-19? 04:24

Find out the answers to the above questions by watching the video below.

Prosperity Finance – here to help

Prosperity Finance looks at your loans strategically, empowering you to make the best long-term, informed decisions. We are professional mortgage brokers and are here to help. Call us at 09 930 8999 for a no-obligation chat with our adviser.