Mortgage stress increases to its highest since April 2012 with 24.9% of mortgage holders now At Risk

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Mar 1

Original article by Roy Morgan
Market Research Update - Page: Online : 1-Mar-23

New research from Roy Morgan shows that an estimated 1.19 million mortgage holders (24.9%) were 'At Risk' of 'mortgage stress' in the three months to January 2023. This period encompassed two interest rate increases of 0.25%. The proportion of mortgage holders now considered 'At Risk' of mortgage stress is the highest since June 2012 and is now significantly above the long-term average of 22.8% stretching back to early 2007. The number of Australians 'At Risk' of mortgage stress has increased by 486,000 over the last year. However, despite the sharp increase in the level of mortgage stress the overall number remains well below the high reached during the Global Financial Crisis in early 2009 of 35.6% (1,455,000 mortgage holders). Meanwhile, the number of mortgage holders considered 'Extremely At Risk', has increased to 710,000 (15.4%), which is slightly above the long-term average over the last 15 years of 659,000 (15.9%). These are the latest findings from Roy Morgan's Single Source Survey, based on in-depth interviews conducted with over 60,000 Australians each year, including over 10,000 owner-occupied mortgage-holders.

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