Analysts at Westpac point out that the RBNZ’s six–month review of the financial system often serves as a window for reviewing the loan–to–value restrictions on mortgage lending.

• “The LVR restrictions have been loosened twice so far, in November 2017 and 2018.
• We do not expect a further change at this review. House prices are up by just 3.9% in the last year, but there has been a marked acceleration in recent months as mortgage rates have fallen sharply and the threat of a capital gains tax has been removed. The RBNZ will be wary of adding more stimulus at this point.
• The RBNZ is unlikely to make any substantial comment on its proposal to increase bank capital requirements, ahead of the announcement scheduled for 5 December.”