Arrears begin to rise
Nothing generates social media excitement quite like people being unable to make a mortgage repayment...and here we are again.
In December we got the first meaningful lift in mortgage arrears for this cycle.
Low-doc and non-confirming arrears have seen a decent lift and are at their highest levels in nearly a year.
Prime SPIN 30+ day mortgage arrears were still below 1 per cent in December, but are now rising materially according to the latest figures from S&P Global.
The increase was fairly uniform across the states, but the biggest mover was the state which experienced the longest lockdowns, and in turn small business failures: Victoria.
Victoria saw its 30-day arrears rise to a 17-month high of 1.22 per cent.
Interest rates have since been lifted further, so arrears will of course rise further in 2023.
