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Covid-19: BusinessNZ backs decision not to go straight to Level 3

Covid-19: BusinessNZ backs decision not to go straight to Level 3
stuff.co.nz - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from stuff.co.nz Daily Mail and Mail on Sunday newspapers.

Tenants will be hit harder by debt-to-income ratios

Tenants will be hit harder by debt-to-income ratios - investors © RNZ / Nate McKinnon Property investors say a debt-to-income ratio tool will limit the number of rental properties available. Finance Minister Grant Robertson has agreed in principle to let the Reserve Bank limit lending according to a person s income, rather than letting them leverage off the value of their existing assets. Robertson wants any upper limit to target the kind of borrowing terms typically only offered to investors - who often rely on existing assets, rather than income, to secure a mortgage to buy more property. Property Investors Federation chief executive Sharon Cullwick says this will have a deterrent effect on landlords wishing to buy.

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