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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.

Previous years: Monthly:
Jun 2021 Jun 2022 Feb 2023 Mar 2023 Apr 2023 May 2023 Jun 2023
Total new commitments ($m)
Total 8,526 6,056 3,836 6,036 4,330 5,859 5,686
TDTI unknown 281 190 113 152 98 118 116
New commitments to first home buyers ($m)
TDTI <= 3 85 71 65 122 100 127 120
3 < TDTI <= 4 191 178 197 299 246 340 367
4 < TDTI <= 5 427 338 314 470 374 520 483
5 < TDTI <= 6 541 341 172 258 244 322 325
6 < TDTI <= 7 289 135 55 74 62 82 69
TDTI > 7 (excl. unknown) 123 42 11 21 19 26 19
Unknown 4 1 1 2 1 2 2
New commitments to other owner-occupiers without investment property collateral ($m)
TDTI <= 3 632 476 432 610 409 662 598
3 < TDTI <= 4 639 509 439 685 486 682 642
4 < TDTI <= 5 839 662 403 719 510 609 660
5 < TDTI <= 6 755 527 265 375 294 367 364
6 < TDTI <= 7 490 292 87 124 82 111 116
7 < TDTI <= 8 230 104 20 28 30 24 36
8 < TDTI <= 9 94 28 8 11 18 12 17
TDTI > 9 (excl. unknown) 151 72 19 47 22 26 43
Unknown 136 104 59 70 56 57 52
New commitments to other owner-occupiers with investment property collateral ($m)
TDTI <= 3 87 92 70 95 82 87 100
3 < TDTI <= 4 100 115 93 153 86 173 125
4 < TDTI <= 5 171 178 178 268 158 223 193
5 < TDTI <= 6 253 298 155 278 187 241 225
6 < TDTI <= 7 294 227 79 114 78 91 122
7 < TDTI <= 8 242 87 32 33 24 28 39
8 < TDTI <= 9 137 16 12 13 8 12 5
TDTI > 9 (excl. unknown) 161 54 13 59 8 20 16
Unknown 79 63 20 37 18 19 16
New commitments to investors ($m)
TDTI <= 3 133 115 101 192 111 138 136
3 < TDTI <= 4 123 100 85 145 109 152 140
4 < TDTI <= 5 159 180 125 204 165 197 194
5 < TDTI <= 6 205 213 158 231 157 247 202
6 < TDTI <= 7 215 245 82 156 97 140 135
7 < TDTI <= 8 199 101 29 53 40 43 32
8 < TDTI <= 9 143 30 5 17 6 12 17
TDTI > 9 (excl. unknown) 138 41 22 33 19 29 31
Unknown 61 21 33 44 24 40 46

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

We publish monthly data quarterly.

Timeliness

We publish data 31 working days after the end of the reference quarter.

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.