Condemnation of the Reserve Bank's latest change to mortgage rules

The central bank has confirmed it's going ahead with plans to introduce "debt to income" restrictions, preventing home buyers from borrowing more than six times their pre-tax income.

The changes will be partially offset by the easing of LVR restrictions, to allow for more low-deposit lending.

But property commentator Ashley Church says the restrictions are a mistake that will be reversed within three years.

He says this will be the "stupidest" move the Reserve Bank has ever made, and will "screw up" the housing market at a time when it should be recovering.