RBNZ says house prices remain overvalued

From the RBNZ Financial Stability Report:

• RBNZ says house prices remain overvalued
• Says loan limits curbed house sales more than expected
• Says could begin to remove the loan limits late in 2014
• Says a slowdown in China would hurt New Zealand and global markets
• Says NZ financial system in good shape
• Says that highly leveraged dairy farmers are at risk of an export price fall

There is a press conference (and then more later) still to come from Graeme Wheeler, governor of the Reserve Bank of New Zealand.

Full report is here: Financial Stability Report May 2014