Australian prime home-loan arrears rose in April, according to a recently published report by S&P Global Ratings. The Standard & Poor’s Performance Index (SPIN) for Australian prime mortgages, rose to 1.53% in April from 1.51% a month earlier. Arrears in April were up 17 basis points year on year.
Arrears were mostly up nationwide. The Australian Capital Territory was the only place to record a decrease in arrears during the month, falling 0.11%. Western Australia and Queensland recorded the largest month-on-month increases, rising to 3.10% and 1.94%, respectively. Around 35% of loans in Australian residential mortgage-backed securities (RMBS) portfolios are domiciled in Queensland and Western Australia.
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David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
