The Bank of England (BoE) has said it wants legal power to cap the ratios used for mortgage applicant approvals.
The bank's plan is to expand its ability to curb mortgage lending for homes.
Lenders are currently limited to not exceeding 15% of loans being above the ratio of 4.5 times the applicant's income, known as the loan-to-value (LTV).
It also wants to cap buy-to-let properties, with limits on ratios of interest and debt-to-income.
In June, Chancellor George Osborne said he was willing to give expanded powers to the central bank.
On Monday at the Conservative Party conference he reaffirmed the position and said he wanted it enacted before the next election.
The BoE spelled out its position, especially for buy-to-let loans, which currently make up 12% of new mortgages.
It said this would include an 'interest coverage ratio' to provide a buffer ensuring rental income is comfortably higher than interest payments.
Professional investors' easy access to buy-to-let mortgages have been seen by some as a reason why barriers prevent prospective homeowner climbing the property ladder.
The BoE's Financial Policy Committee (FPC) gained its first set of legal powers in April last year.
But the issue was seen as politically hot and not for the FPC to decide the final ratio figure.
Further afield, the BoE also gave a clean bill of health to the Government's Help To Buy mortgage guarantee scheme.
The scheme was considered controversial by critics, who said it risked pushing up house prices.
But the bank said Help To Buy was not to blame for rising values, as it only accounted for some 5% of purchases.
It was also most commonly used in areas where price increases have been modest.
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