Low equity buffers for ANZ National 25 November 2009 5:35PM Sophia Rodrigues The quarterly disclosure statement for the New Zealand business of ANZ highlights the more aggressive approach that the bank has taken in the local home loan market.ANZ National has 10.9 per cent of its retail mortgages with a loan to valuation ratio that exceeds 90 per cent.Of the retail mortgage portfolio of NZ$54 billion, $5.9 billion had an LVR over 90 per cent; NZ$6.82 billion had an LVR between 80 per cent and 90 per cent and the balance of NZ$41.6 billion had an LVR below 80 per cent.The LVR calculation was based on the property value at the time of writing the loan. Given declining property prices in New Zealand, the LVR of more loans of ANZ National may exceed 90 per cent.At ASB Bank, which also released its disclosure statement this week, only 4.4 per cent of mortgages have an LVR of more than 90 per cent.Turning to business loans, the ANZ National disclosure showed the group renegotiated loans worth BNZ$266 million as at September 30, sharply higher than just NZ$9 million the year before. If not renegotiated, such loans would otherwise have been classified as past due or impaired. Impaired assets of ANZ National rose to NZ$1.18 billion this year, compared with NZ$327 million the year before.Meanwhile ASB revealed that it made NZ$285 million in tax provisions in the case with Inland Revenue Department pertaining to the bank's past structured finance transactions.