Australia’s interest-only mortgage time bomb set to blow

Tuesday 23 October 2018

Almost one million mortgage holders are about to see their mortgage repayments rise as they shift from interest-only to principal and interest, according to analysts at finder.com:

Analysis by comparison website finder.com.au found that of the $706 billion worth of new home loans approved in 2014-15, a worrying 42 per cent of them were for interest-only repayment arrangements.

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About the author

Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.