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Rising Mortgage Stress Risk But Arrears Still Very Low

AUSTRALIA

S&P Global Ratings reported that home loan arrears remained very low in Q2 rising to 0.97% for prime mortgages from 0.95% in Q1 and falling to 3.47% for non-prime from 3.7% due to the number of loans increasing. However, Roy Morgan released data showing the number of people at risk of mortgage stress rising 642k on a year ago to a record 1.5mn in the 3 months to July. The number paying 25-45% of their income into their mortgage rose to 29.2% from 28.8% in June. (The Australian)

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