Mortgage stress growing
According to QBE LMI’s latest lmiBAROMETER report, almost 25 per cent of mortgage holders said they would not make their repayments if rates lifted by 50 basis points before the end of the year.
Despite the negative consumer sentiment, just 2.3 per cent of Australians are unable to meet their repayments on their current income.
Speaking at a media briefing yesterday, QBE LMI chief executive Ian Graham said not all states were affected in the same way by mortgage stress.
“The leading states for mortgage stress are South Australia and Western Australia, with both groups having around 30 per cent of respondents claiming to be under stress,” he said.
“Queensland follows with 28 per cent of respondents, ahead of New South Wales/Australian Capital Territory with 25 per cent of respondents.”
“Interestingly, respondents from Victoria/Tasmania report a level of mortgage stress well below the rest of the nation at only 15 per cent.”
Source: The Advisor