Compromised credit conditions facing property developers and their customers (often investors) form one nexus of the Reserve Bank of Australia's half-yearly Financial Stability Review, one that extends the bothered messaging of financial regulators over recent weeks.While the FSR reports the rate of growth in credit from banks to property developers has waned, it sheds additional light on the backdrop to the macroprudential measures announced by APRA at the end of March."The resilience of lenders, as well as on the household sector more broadly," was a theme emphasised by the Australian Prudential Regulation Authority when introducing the new measures - language the RBA qualifies in the FSR, released on Thursday.References to "localised pockets of oversupply", "challenging conditions for builders and developers" and other worried language punctuate the FSR."Apartment prices have fallen in Brisbane," the RBA points out, while in Perth, there is "reduced growth in demand for new dwellings."The RBA to some degree walks back alarm over settlement failure ventilated in the two 2016 editions of its FSR."While liaison with industry suggests that settlement failure rates remain low, developers are continuing to report delays in settlement for some purchasers."Given APRA's and ASIC's patrols on bank lending, the RBA confirms "one contributor to settlement delays is tighter access to finance, particularly for buyers relying on foreign income."It then puts a new spin on settlement strife."Liaison also indicates that valuations at settlement are sometimes coming in below what buyers had anticipated and, in some cases, below contracted purchase prices, reducing the amount banks will lend," the RBA reports.In its announcements three weeks ago (centred on a limit on the flow of new interest-only lending to 30 per cent, by banks) APRA seemed keen to soften the blow about to fall on property developers. APRA explained then it had "concluded that the ten per cent growth benchmark continues to provide an appropriate constraint in the current environment."But, APRA chief Wayne Byres elaborated, the existing growth benchmark on investor loans was maintained to "balance the need to continue to moderate new investor lending with the increasing supply of newly completed construction which must be absorbed in the year ahead."