Aussies are 23 months ahead on their mortgage

With interest rates at record lows, Aussie households are getting ahead on their mortgage repayments.

Instead of cutting their monthly repayments many borrowers are paying the same amount, and paying off the loan more quickly.

These mortgage “buffers” – held in mortgage offset and redraw facilities – are now worth 14 per cent of outstanding home loans or more than $160 billion collectively.

Aussie households have 23 months' worth of minimum mortgage payments to fall back on.

Source: The Age