An average wage earner who took out a large home loan and wants to switch banks might struggle now. Is there any relief?
In several past property booms,first home buyer activity has been steady. But that wasn’t the case in the past three years.
Despite the latest pause,the string of interest rate rises over the past year have squeezed many households in ways they didn’t expect.
Young people are struggling to get onto the property ladder compared with previous generations – but that changes when they’re given two things.
Property prices have been on the rise since the summer,although there’s little relief in sight for home buyers’ budgets – but there’s a precedent.
There has been an unseasonal increase in the number of homes for sale,as soaring mortgage repayments stretch some households’ finances beyond what they can manage.
Even though the cash rate is nowhere near the double digits it reached in 1990,property prices have skyrocketed relative to incomes.
Mortgage brokers are getting calls from homeowners seeking a bigger change than refinancing or asking for a better deal,but it’s not for everyone.
Chelsea Brown has cut back on going to restaurants and cafes,but as interest rates rise,even an errant light left on in an empty room draws her attention.
Last year’s record-breaking run of rate rises has hit households hard,and they are even more likely to fall behind with every future interest rate rise.
Late January is the peak time to think about getting a better job,but anyone hoping to buy a home or refinance a mortgage,be warned.