A major bank has reservations that new loan-to-value rules will take the heat out of the housing boom.

The Reserve Bank's return to lending restrictions will see owner occupiers needing a 20 percent deposit, and investors 30 percent, in March.

ANZ CEO Antonia Watson, told Mike Hosking ANZ is doing less lending since introducing its own 30 percent restriction in December.

But she says it remains to be seen if the market will slow.

“The LVRs won't be a silver bullet, as a lack of homes are among other areas that need fixing. There are all sorts of things which need to be fixed, with one of them being the supply side.”

Watson says home buyers are making the most of low interest rates, but businesses are uncertain.

She says businesses are cautious about expanding, as they know that one more lockdown will change the economy.

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