RESIDENTIAL PROPERTY
DESPITE the RBA pausing interest rate hikes, with rates and inflation both already high mortgage delinquencies will continue to rise over the next 12 months...
According to Moody’s Investors Service, Australian mortgage delinquency rates increased over the March quarter, with the share of...
The nonconforming mortgage delinquency rate grew significantly more than prime loans, reaching 4.04% in March, up from...
For both prime and nonconforming home loans, the delinquency rate is still sitting below the peaks seen at the onset of the...
Moody’s is forecast a moderate rise in delinquencies over the next 12 months, with the RBA’s pausing of the cash rate at...
Though the rate hikes were justified as means to combat inflation, with inflation still high in combination with the high cash rate...
With unemployment still relatively low, at 3.6% in May 2023, Moody’s predicts increased delinquencies will be moderated...
“Borrowers who took out mortgages at very low interest rates in the few years before the RBA started its monetary tightening cycle pose a...
While the Australian Prudential Regulation Authority (APRA) requires lenders to assess a borrower’s capacity to repay debt using an interest rate...
“Because interest rates were so low before the RBA’s monetary tightening cycle and have increased so rapidly, the average serviceability...
Adding to rising mortgage delinquencies, over the next six to 12 months a significant chunk of mortgages will reach the end of...
Due in large part to the record low interest rates during the peak of the COVID-19 pandemic, fixed-rate mortgage lending, which typically...
Recent analysis from Canstar found fixed-rate borrowers approaching this mortgage cliff could be about to see their repayments skyrocket by 63%.