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Vulnerability of new mortgage borrowers prior to the introduction of the LVR speed limit: Insights from the Household Economic Survey

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Using data from the Household Economic Survey we examine the vulnerability of several cohorts of owner-occupiers who had recently taken out mortgages. We focus particularly on the period leading up to the introduction of the "speed limit" on high LVR mortgage lending.

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  • Ashley Dunstan & Hayden Skilling, 2015. "Vulnerability of new mortgage borrowers prior to the introduction of the LVR speed limit: Insights from the Household Economic Survey," Reserve Bank of New Zealand Analytical Notes series AN2015/02, Reserve Bank of New Zealand.
    • Handle: RePEc:nzb:nzbans:2015/02
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    File URL: http://www.rbnz.govt.nz/-/media/ReserveBank/Files/Publications/Analytical%20notes/2015/an2015-02.pdf
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    1. Orla May & Merxe Tudela, 2005. "When is mortgage indebtedness a financial burden to British households? A dynamic probit approach," Bank of England working papers 277, Bank of England.
    2. Shubhasis Dey & Ramdane Djoudad & Yaz Terajima, 2008. "A Tool for Assessing Financial Vulnerabilities in the Household Sector," Bank of Canada Review, Bank of Canada, vol. 2008(Summer), pages 47-56.
    3. Matthew Read & Chris Stewart & Gianni La Cava, 2014. "Mortgage-related Financial Difficulties: Evidence from Australian Micro-level Data," RBA Research Discussion Papers rdp2014-13, Reserve Bank of Australia.
    4. Reamonn Lyndon & Yvonne McCarthy, 2013. "What Lies Beneath? Understanding Recent Trends in Irish Mortgage Arrears," The Economic and Social Review, Economic and Social Studies, vol. 44(1), pages 117-150.
    5. Mizuho Kida, 2009. "Financial vulnerability of mortgage-indebted households in New Zealand - evidence from the Household Economic Survey," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 72, pages 5-12, March.
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    Cited by:

    1. Karam Shaar, 2018. "Mortgagor Vulnerability and Deposit Affordability in New Zealand before and after the Loan-to-Value Restrictions," Reserve Bank of New Zealand Analytical Notes series AN2018/06, Reserve Bank of New Zealand.
    2. Funke, Michael & Kirkby, Robert & Mihaylovski, Petar, 2018. "House prices and macroprudential policy in an estimated DSGE model of New Zealand," Journal of Macroeconomics, Elsevier, vol. 56(C), pages 152-171.

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