Kiwis out to buy their first home may soon find that process a lot harder.
Under the Reserve Bank's proposed new debt-to-income lending rules, it has been estimated an Auckland family would need $172,000 a year to buy an average-priced home.
These rules could come into effect by June 2024, in order to stop first home buyers and owner occupiers borrowing more than six times their annual income.
CoreLogic economist Kelvin Davidson says these changes could have a positive impact in the long run and tie house prices closer to incomes.
LISTEN ABOVE
See omnystudio.com/listener for privacy information.
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
iHeartRadio 24/7 News: The Latest
The latest news in 4 minutes updated every hour, every day.