Australian home owners are falling into increasing despair as interest rates continue to rise. Mortgage stress is hitting hardest even in what are deemed the more affordable parts of state areas.
As home owners struggle under the climbing mortgage repayments nation wide, more and more Australians are falling into debt. New figures released by debt collector and credit reference group Dun & Bradstreet expose a sizeable 12% increase in the number of debts referred for collection in 2007. Struggles to meet these mortgage repayments have ensured “unprecedented levels of bankruptcy and repossession and loan defaults” as Australian Property Monitors general manager Michael McNamara stated.
Mr McNamara described “Property prices have increased 250 per cent since 1996 but mortgage debt increased by five times in the same period.”
With so many Australians living on the knife’s edge, it is of no surprise people are looking for ways out. Loan Market chairman Sam White advised struggling borrowers to “consider re-financing” before it becomes too late.
If you need assistance with refinancing your mortgage debts, ALC can help. Contact us now on 1300 138 188.