New and Existing Residential Mortgage Lending by Payment type - C32

Released
26 July 2017 03:00 p.m.
Next release
24 August 2017 03:00 p.m.
Source
Reserve Bank of New Zealand
Periodicity
Monthly
Previous years: Monthly:
Jun 2015 Jun 2016 Feb 2017 Mar 2017 Apr 2017 May 2017 Jun 2017
New lending ($million)
Total 5,745 6,803 4,379 5,985 4,558 6,036 5,097
Interest only (incl revolving credit) .. 2,705 1,459 2,057 1,495 2,006 1,683
Principal and interest .. 4,098 2,920 3,929 3,063 4,030 3,414
New lending: Share higher than 80% LVR (%)
Total1 8.0 6.7 6.4 6.0 5.8 6.3 6.3
Interest only (incl revolving credit)1 .. 2.4 3.4 2.2 2.0 2.7 1.9
Principal and interest1 .. 9.5 7.9 8.0 7.6 8.1 8.4
New lending: Interest only ($million)
Owner occupiers (incl first home buyers)2 .. 1,361 928 1,304 915 1,238 1,051
Investor2 .. 1,307 513 715 562 737 603
New lending: Share of interest only higher than 80% LVR (%)
Owner occupiers (incl first home buyers)1 .. 3.4 5.2 3.2 3.0 3.9 2.8
Investors1 .. 1.4 0.3 0.5 0.6 0.8 0.5
Existing lending ($million)
Total 201,389 219,324 - 231,357 - - 232,786
Interest only (incl revolving credit) .. 63,073 - 65,428 - - 65,207
Principal and interest .. 156,251 - 165,929 - - 167,579
Existing lending: Share higher than 80% LVR
Total1 .. 12.3 - 8.5 - - 7.9
Interest only (incl revolving credit)1 .. 8.0 - 7.3 - - 6.9
Principal and interest1 .. 14.0 - 9.0 - - 8.4
  1. Percentages are calculated from non-rounded figures.
  2. Excludes new lending for business purposes.

The Data: Coverage, Periodicity, and Timeliness

Coverage characteristics

The table presents statistics on new and existing residential mortgage lending by payment type - interest only, and principal and interest loans.

Interest only loans are defined as having no scheduled repayments. This includes loans where borrowers independently choose to repay principal such as revolving credit loans that have a fixed limit. Principal and interest loans are defined as having scheduled repayments. This includes revolving credit loans that have a scheduled reducing limit.

The new residential mortgage lending by payment type is sourced from the monthly loan-to-valuation ratio (LVR) survey and LVR positions quarterly survey that are completed by registered banks in New Zealand.

The table presents data starting with the July 2015 reference period.

See C30 and C31 for more information on new residential mortgage lending by loan-to-valuation ratio and C35 for quarterly residential mortgage loan reconciliation data.

Periodicity

Monthly for new lending

Quarterly for existing lending

Timeliness

Data is published eighteen working days after the end of the reference period.

Access by the public

Statistics release calendar

The Statistics Release Calendar provides a long-term plan of scheduled releases. It is updated and released on the first working day of the month.

Integrity

Dissemination of terms and conditions under which official statistics are produced, including confidentiality of individual responses

Data are collected under Section 93 of The Reserve Bank of New Zealand Act 1989.

The Reserve Bank of New Zealand publishes only aggregated data. Individual institutional data remains confidential.

Provision of information about revisions and advance notice of major changes in methodology

Provisional data are italicised. Data are deemed provisional when a series is under review. New data, or revised data, are in bold font. This applies to the summary table only and not excel files. Revisions are generally published when the table is next due to be updated and released. Should revisions need to be made more promptly, a special note is posted on the website.

Any major changes in methodology will be posted as a special note.

Quality

Dissemination of documentation on methodology and sources used in preparing statistics

A list of registered banks is available.

Series name

Description

Total new lending ($million)

Total value of monthly committed residential mortgage loans, which are finalised offers to customers to provide mortgage loans or to increase the loan value of an existing mortgage loan, as evidenced by the loan documents provided to the borrower.

Total interest only, including revolving credit ($million)

A payment type that has no scheduled repayments. This includes where borrowers independently choose to repay principal such as revolving credit loans that have a fixed limit.

Total principal and interest ($million)

A payment type that has scheduled repayments. This includes revolving credit loans that have a scheduled reducing limit.

New lending: share higher than 80% LVR (%), total

The percentage (%) of the total new lending where the residential mortgage lending’s LVR is greater than 80%.

New lending: share higher than 80% LVR (%), interest only

The percentage (%) of the total interest only (including revolving credit) lending where the residential mortgage lending’s LVR is greater than 80%.

New lending: share higher than 80% LVR (%), principal and interest

The percentage (%) of the total principal and interest new lending where the residential mortgage lending LVR is greater than 80%.

Owner occupiers (including first home buyers)

Owner occupiers include first home buyers and other owner occupiers.

A first home buyer is a borrower entering the home ownership market in New Zealand for the first time. In the case of more than one borrowing parties to a loan, borrowers are classified as first home buyers only if none of the borrowing parties have previously drawn down on housing finance for owner occupation.

Other owner occupiers are borrowers (other than first home buyers) who own or are in the process of buying or building the house or flat they will live in. An owner can occupy more than one property e.g. a family home and a holiday home.

Investor

Investors are entities or persons borrowing for the purpose of building or purchasing residential property to rent. The borrower is securing the loan on a non-owner occupied property i.e. the borrower does not intend to live in the property for which they are seeking finance.

Business purposes

Lending made to borrowers in the form of a residential mortgage loan but are intended for business purposes.

New lending: share of interest only higher than 80% LVR (%), owner occupiers (including first home buyers)

The percentage (%) of the interest only borrowed by owner occupiers (including first home buyers and other owner occupiers), where the LVR is greater than 80%.

New lending: share of interest only higher than 80% LVR (%), Investors

The percentage (%) of the interest only borrowed by investor, where the LVR is greater than 80%.

Total existing lending ($million)

Closing value of on balance sheet residential mortgage loans at the end of the quarter.

Existing lending ($million), total interest only (including revolving credit)

Closing value of the interest only (including revolving credit) lending at the end of the quarter.

Existing lending, total principal and interest

Closing value of the principal and interest at the end of the quarter.

Existing lending: share higher than 80% LVR (%), total

The percentage (%) of the closing value of the mortgage lending at the end of the quarter where the residential mortgage lending’s LVR is greater than 80%.

Existing lending: share higher than 80% LVR (%), interest only (including revolving credit)

The percentage (%) of the closing value of the interest only lending at the end of the quarter where the residential mortgage lending’s LVR is greater than 80%.

Existing lending: share higher than 80% LVR (%), principal and interest

The percentage (%) of the closing value of the principal and interest lending at the end of the quarter where the residential mortgage lending’s LVR is greater than 80%.

The new format for our Excel data files will be rolled out to the LVR  (Tables C30, C31, C32 and C35) on 10 July 2017.

The most notable changes in the Excel data files will be:

  • No extra columns, bold numbers, merged cells or any other formatting. This will make it easier for data users to transform the file into other ‘machine friendly’ formats such as .csv.
  • Two extra tabs – ‘Table Description’ and ‘Series Definitions’ that will contain supplementary information about the table and the data.
  • The data tab will have two extra rows: unit and series ID linked to the Series Definitions.

There will be no change to the presentation of summary data in the summary tab.

 

7 July 2017

Symbols and conventions for summary table

0 Value rounded to zero
- Zero or not applicable
.. Not available
bold Revised/new
italics Provisional
light red background Historical

General notes

  • Individual figures may not sum to the totals due to rounding
  • Percentage changes are calculated on unrounded numbers
  • You are free to copy, distribute and adapt these statistics subject to the conditions listed on our copyright page.