For the system overall, the share of high LVR lending over the six months was 5.6 percent. This compares with a 30 percent high LVR share in early 2013. There has been some compensating increase in sub-80 percent LVR lending over the six months as the banks have intensified competition in this segment.
However, the overall effect has been a reduction in the rate of growth in new mortgages. (figure 3.1). 4. LVR impact has been close to expectations  The moderation in housing market indicators is broadly in line with the expected impact of the LVR restrictions. Table 4.1 shows actual reductions in national sales, price inflation and credit relative to our initial expectations.