And new research suggests the RBA may have their hand "forced" on further rises.
Research from Roy Morgan showed 1.5 million mortgage holders were "at risk" of mortgage stress in the three months to July 2023.
That period included two interest rises of 0.25 per cent, pushing the cash rate to 4.1 per cent in June.The figures for July represented a new record high and surpassed the previous record high number reached in the three months to May 2008, of 1.46 million, Roy Morgan said.The number of Australians at risk of mortgage stress has increased by 642,000 during the last year as the RBA increased interest rates at 12 of the board's last 15 monthly meetings to the highest level since May 2012.
And that would rise again - from a potential 30.2 per cent to 30.7 per cent - with a subsequent lift in October.Roy Morgan determines mortgage holders to be "at risk" if their mortgage repayments are greater than a certain percentage of household income – depending on income and spending. "Extremely at risk" mortgage holders are in a situation where even the "interest only" is over a certain proportion of household income."Although many have suggested the RBA has finished its cycle of interest rate increases, the low Australian dollar and high petrol and energy prices adding to inflation may force their hand for further interest rate increases in the months ahead," Roy Morgan CEO Michele Levine said.
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