Financial Stability Report, International experience with macro-prudential mortgage product instruments
Bank of England
Download Document| Date Published | June 2014 |
| Version | |
| Primary Author | Bank of England |
| Other Authors | |
| Theme | Comparing Housing Finance Systems |
| Country |
Abstract
In recent years there has been increasing use of macroprudential policies to reduce risks associated with the provision of mortgage debt. Instruments used have included various limits on loan to value (LTV) ratios, loan or debt to income (L/DTI) ratios, debt-servicing ratios (DSRs) and loan tenors. A range of national authorities have deployed such policies: an IMF survey of 42 countries found that more than one third had implemented product tools on mortgages, including two thirds of EU countries.