1
0
Preston Aug 3,2022(AE)As interest rates continue to rise each month, nearly 50,000 more Victorian homeowners have been forced into stress over their mortgages in just the past 12 weeks.
On Tuesday, the Reserve Bank raised the cash rate by 50 basis points to 1.85%.
Since setting its goal of 2 to 3 percent inflation in 1990, the RBA has never raised rates for four consecutive months.
The much awaited change adds more suffering to mortgaged households already contending with the skyrocketing cost of living.
In just 12 weeks, an additional 49,256 Victorian households were put under mortgage stress, according to a survey by Digital Finance Analytics and online home loan marketplace
In July of this year, 486,901 households were at their maximum capacity, up from 437,645 on May 1.
10,307 households were forced into mortgage stress last month, with Narre Warren South topping the list of severely hit areas in Melbourne’s south-east.
10,027 dwellings in Berwick, 9348 in Roxburgh Park, 8278 in Ballarat East, and 8236 in Sydenham were listed after that.
Frankston, Pakenham, Cranbourne, Rowville, and other areas were also under pressure.
Richard Dennis, chief economist at the Australia Institute, declared last week that the RBA posed one of the greatest current dangers to the economy.
