Fujitsu Consulting launches Mortgage ‘Stress-O-Meter’
Fujitsu Consulting today launched the Australian Mortgage Industry “Stress-O-Meter”, a measure of those segments of Australian society who are under the most pressure to meet mortgage repayments. While mortgage stress, which is measured by households ability to maintain mortgage payments, fall into arrears and potential defaults, has been rising for the past 12 months, it is young growing families and suburban mainstream Australia that will be hardest hit by today’s interest rate rise.
Fujitsu estimates that 70,000 households are now experiencing mortgage stress across Australia – a 52 per cent rise in the past 12 months - with hot spots in Sydney, Melbourne and Perth. The two groups which have experienced the greatest increase in the number of people who are experiencing mortgage stress, are young growing families and the suburban mainstream, both of which have almost doubled in size over the past 12 months.
“While traditional ‘battlers’ continue to be hit hard, the extent of mortgage stress, and potential problems, have now reached mainstream Australia”, said Martin North, Managing Consulting Director, Fujitsu Australia.
Using the Fujitsu Mortgage Market Model and based on research of more than 26,000 consumers across Australia, the “Stress-O-Meter” tracks the real life issues which affect people’s ability to meet mortgage repayments. Fujitsu has modelled the financial impact of mortgage stress across eleven discrete segments of the population, based on a range of demographic, behavioural and financial measures.
Martin North, Managing Consulting Director, Fujitsu Australia said, “The results of the “Stress-O-Meter” are very telling. Specific customer groups are under intense pressure based on the balance between net income and mortgage repayments. Young growing families and suburban mainstream families are under extreme stress, which has only increased with today’s interest rate rise.”
This news content was configured by WebWire editorial staff. Linking is permitted.
News Release Distribution and Press Release Distribution Services Provided by WebWire.