The Reserve Bank says it's proposed change in lending rules - because the housing market is changing.
It wants to let banks grant a larger percentage of its new lending, to borrowers with less of a deposit.
Reserve Bank Deputy Governor Christian Hawkesby says house prices have moderated to become more sustainable.
He says he expects the proposal will be attractive to banks.
"It is a very short consultation, and yes, we're expecting it to go through very straightforwardly."
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