How are we doing?
Out of the latest reports – almost a quarter of Australians have a financial buffer equivalent to a year’s wages in their mortgage according to the results of a survey from a major mortgage
broking network.
According to the 2016 Money Survey from Mortgage Choice, 23.4% of Australians are completely up to date with their mortgage payments and also have the equivalent of at least 12 months wages sitting in their offset account or paid off their loan.
That figure is well up on from the results from 2015, when only 13% of respondents said they were as comfortable financially.
Western Australia is sitting at 24.3% of mortgage holders having some buffer in their home loan.
“Contrary to popular belief, it is becoming more and more apparent that Australian home owners are feeling pretty confident about their finances and are making financial decisions that reflect this confidence,” Flavell said.
“The survey found that the vast majority of mortgage holders are ‘very comfortable’ managing their debt. Of course, this data is hardly surprising when you consider that interest rates are currently sitting at 60 year lows, resulting in significantly lower mortgage repayments for most home owners,” he said.
So as the rates have decreased and home owners have kept their payments at the same levels as well as running offset accounts – people are starting to make headway!
So if you are feeling the heat after the new year with other loans credit cards or car loans etc. Let us take a look at consolidating and having a tidy up. Or just do a health check on your current situation to see if we can do any better in the current market.
Most banks are offering special or great rates on the 3 year fixed loans. It may be time to look at fixing in a portion of your loans and keep those payments up to make even more headway.