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Residential mortgage lending by debt-to-income (DTI) purpose use (C40)

This data analyses residential mortgage debt compared to the income of the borrowers, broken down by borrower type.

Higher Debt-to-Income (DTI) New Commitment Values by Borrower Type

Previous years: Monthly:
Feb 2023 Feb 2024 Oct 2024 Nov 2024 Dec 2024 Jan 2025 Feb 2025
Total new commitments ($m)
Total 3,836 4,915 7,534 7,412 8,113 5,131 5,847
TDTI unknown 113 115 134 102 88 47 66
New commitments to first home buyers ($m)
TDTI <= 3 65 116 146 135 151 83 93
3 < TDTI <= 4 197 322 460 410 432 270 279
4 < TDTI <= 5 314 397 650 603 646 418 438
5 < TDTI <= 6 172 199 272 303 318 216 239
6 < TDTI <= 7 55 52 23 34 44 35 52
TDTI > 7 (excl. unknown) 11 19 8 8 10 7 5
Unknown 1 1 4 3 6 2 1
New commitments to other owner-occupiers without investment property collateral ($m)
TDTI <= 3 432 561 818 773 805 526 652
3 < TDTI <= 4 439 602 812 749 854 507 574
4 < TDTI <= 5 403 501 815 811 862 508 585
5 < TDTI <= 6 265 277 442 431 520 338 363
6 < TDTI <= 7 87 74 73 98 131 104 99
7 < TDTI <= 8 20 28 29 17 27 24 22
8 < TDTI <= 9 8 12 14 17 20 16 17
TDTI > 9 (excl. unknown) 19 30 39 44 45 23 46
Unknown 59 61 54 48 33 20 35
New commitments to other owner-occupiers with investment property collateral ($m)
TDTI <= 3 70 97 132 155 159 77 125
3 < TDTI <= 4 93 145 238 213 247 150 158
4 < TDTI <= 5 178 231 371 356 406 188 259
5 < TDTI <= 6 155 178 337 380 433 285 274
6 < TDTI <= 7 79 68 101 155 179 118 194
7 < TDTI <= 8 32 27 21 20 51 33 38
8 < TDTI <= 9 12 14 8 8 22 23 40
TDTI > 9 (excl. unknown) 13 16 28 30 26 15 22
Unknown 20 23 41 25 33 9 13
New commitments to investors ($m)
TDTI <= 3 101 169 267 250 243 147 222
3 < TDTI <= 4 85 150 298 252 273 189 190
4 < TDTI <= 5 125 186 353 373 350 252 261
5 < TDTI <= 6 158 195 396 392 416 286 255
6 < TDTI <= 7 82 79 185 225 266 187 195
7 < TDTI <= 8 29 28 21 33 36 28 52
8 < TDTI <= 9 5 6 11 11 17 8 12
TDTI > 9 (excl. unknown) 22 17 30 24 36 23 22
Unknown 33 30 35 26 18 16 17

Updates to Debt-to-Income publication frequency

13 November 2024

Today we have released the latest Debt-to-Income (DTI) new commitments data covering the period starting August-24 to September-24 in the C40 and C41 tables as scheduled. Moving forward, we will align the publication dates of the DTI tables with the Loan-to-Valuation Ratio (LVR) new commitments tables (C30, C31, C32, and C33). As a result of this alignment, the DTI new commitments data will now be released monthly, starting with the first monthly release of October-24 data on the 27th of November 2024.


View all Banks: Residential mortgage lending by debt-to-income (DTI) purpose use special notes

The data: coverage, periodicity and timeliness

Coverage characteristics

The table shows data from the monthly debt-to-income (DTI) survey that registered banks in New Zealand complete.

Registered banks provide data on new residential mortgage lending commitments during a reference month with a breakdown by DTI. Committed lending in the monthly DTI survey 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.

Periodicity

Monthly.

Timeliness

We publish data 18 working days after the end of the reference period.

Access by the public

Statistics release calendar

The statistics release calendar provides a plan of scheduled releases. We update and release it on the first working day of the month.

View the statistics release calendar

Integrity

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

We collect data under Section 93 of the Reserve Bank of New Zealand Act 1989 (the Act).

Read the Reserve Bank of New Zealand Act 1989

We only publish aggregated data. Individual institutional data is confidential.

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

New data, or revised data, are in bold font. This applies to the summary table only and not Excel files. We generally publish revisions when we update and release the next table. Should we need to make revisions more promptly, we will post a special note on the website. We will also post any major changes in methodology as a special note.

Total Debt to Income ratio (TDTI)

Total Debt to Income ratio (that is, Total Balance of Borrowers’ Debts (to all lenders) / Total Gross Income).

Total balance of loan values is the sum of all loan values (typically the limit of each loan) that the borrower or borrowing parties disclose they are responsible for servicing out of their income. This includes the loan value of the new commitment, and any pre-existing mortgages, although there are some debts that are typically excluded, such as business and student loans.

Unknown DTI

Borrowers and loans classified as ’unknown DTI’ are extraordinary cases where the information on borrower debts or borrower gross incomes are incomplete, unverified or not recoverable, and no reasonable proxy exists to estimate the DTI. Proxies must reflect information specific to the individual customer.

Unknown DTIs are included where DTI 'bucket' is not specified.

Borrower gross income (BGI)

Borrower gross income is the amount a bank is prepared to count in its servicing analysis (that is, that qualifies (after any applicable haircuts) based on internal policy). It includes wages and salaries, self-employment income, boarder income, rental income, superannuation and other government benefits and investment income.

Loan-to-valuation ratio (LVR)

Loan-to-valuation ratio = [loan value / property value] x 100.

New commitments ($millions)

Value of committed residential mortgage loans during a month, 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. Any offer to purchase a home by the customer, that is to be financed by the loan, is typically unconditional at this stage.

First home buyers

A first home buyer is a borrower intending to purchase or build a property for owner occupation in New Zealand for the first time. In the case of more than one borrowing party 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. If the borrower, or at least one borrowing party, has previously drawn down on housing finance for owner occupation they are classified as ’other owner occupier’.

Other owner occupier without investment property collateral

Other owner occupiers are borrowers who own or are in the process of buying or building a house or flat they (or a related party) will live in, are borrowing against properties that meet that definition, are not first home buyers, and are not borrowing against any investment properties. An owner can occupy more than one property; for example, a family home and a holiday home.

Other owner-occupiers with investment property collateral

Other owner-occupiers with investment collateral are borrowing for the purpose of purchasing or building a dwelling they (or a related party) will live in, and are securing that loan at least partly against investment property collateral. An owner occupier with investment property collateral can occupy more than one property e.g. a family home and a holiday home.

Investors

Investors are entities or persons borrowing for the purpose of building or purchasing residential property to rent. The borrower is securing the loan at least partly on a non-owner occupied property and the borrower does not intend to live in the property (if any) they are seeking to build or purchase.

Auckland commitments

This includes any loan that has any Auckland investment property as collateral. It also includes any loan that has an Auckland owner occupied property as collateral, unless that loan has also had investment property as collateral and those investment properties are all outside Auckland.

Borrowers (number)

Number 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. Any offer to purchase a home by the customer, that is to be financed by the loan, is typically unconditional at this stage.

Symbols and conventions for summary table

Symbol or convention Definition
0 Zero or value rounded to zero
- Not applicable
.. Not available
bold Revised/new
italics Provisional
Light grey 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.