Actually this hasn't been the first approach, there's been a gradual tightening of access to mortgages via what's called the LVR, by upping the deposit amount r

Actually this hasn't been the first approach, there's been a gradual tightening of access to mortgages via what's called the LVR, by upping the deposit amount required for mortgages to buy a house and differentiating between the family home and investment properties. Arguably this has slowed down the rampant price rises in the past 6-12 months without crashing the market. Currently LVR rates are 20% owner occupied and 40% for investment properties (ie rentals). There's some exemptions and some other tax rules that have been put in place also. Anecdotally we're not seeing the craziness of 24mths ago. Auction pass rates have increased and the number of for sale signs have dropped dramatically. This new policy is probably more politically motivated than will actually have an effect.