Are Debt-to-income restrictions on mortgages vote winners?
Of course they’re not, and what’s the bet Farrar has been polling and focus grouping this.
Debt-to-income restrictions on mortgages are a long way off, even if the Reserve Bank decides it wants to introduce them, Parliament has been told.
Finance Minister Bill English was questioned about the restrictions today, after confirming last week that the Government and the Reserve Bank were discussing them.
“The Reserve Bank has yet to investigate whether the tool is workable, then it’s got to decide whether it wants to include it in the memorandum of understanding [with the Government], then it has to go out and consult everybody and work out how to apply it,” Mr English said.
Labour’s finance spokesman, Grant Robertson, asked Mr English about the potential impact of debt-to-income restrictions on first home buyers, but the minister said he wasn’t going to speculate on an issue the bank had just started working on. Read more »