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Several suburbs in New South Wales and Victoria represent a huge chunk of areas with the highest number of borrowers in mortgage stress, according to the latest market update by consumer group CHOICE and Digital Finance Analytics (DFA)
There are 10 crisis suburbs in New South Wales and Victoria that make up 130,000 households considered to be in mortgage stress. According to data collected by the Digital Finance Analytics, 63,500 households in in New South Wales and 70,500 in Victoria are in mortgage stress.
"These are households where from fortnight to fortnight, people are spending more than they are earning. That means that they have to make difficult choices, like whether to put food on the table or keep up with repayments. If they can't maintain the juggling act, they risk losing their homes," said Alan Kirkland, CEO of CHOICE.
Kirkland said the plans to the government to repeal the safe lending laws could impact the mortgage stress situation in the most affected suburbs.
"Safe lending laws were put in place to avoid the huge damage to families and communities caused by mortgage stress — by making banks take care to avoid giving people loans they won't be able to afford to repay," he said.
"If the government gets away with its plan to axe safe lending laws people who are desperate to get into a rising housing market will be at risk of overexposure and people who need to refinance won't be adequately protected."
Five of the 10 postcodes with the highest number of households in mortgage stress were from Victoria. However, NSW's 2560 postcode, which houses suburbs including Airds, Bradbury, Campbelltown, Kentlyn, St. Helens Park, Wedderburn, and Woodbine, topped the overall list.
The table below from CHOICE and DFA below shows the top 10 national postcodes with the highest number of households in mortgage stress:
|
Rank |
Postcode |
Suburbs |
State |
Number of households in mortgage stress |
|
1 |
2560 |
Airds, Ambarvale, Appin, Bradbury, Blair Athol, Bradbury, Campbelltown, Englorie Park, Gilead, Glen Alpine, Kentlyn, Leumeah, Rosemeadow, Ruse, St Helens Park, Wedderburn, Woodbine |
NSW |
10578 |
|
2 |
2170 |
Casula, Chipping Norton, Hammondville, Liverpool, Liverpool South, Lurnea, Moorebank, Mount Pritchard, Prestons, Warwick Farm |
NSW |
10002 |
|
3 |
6065 |
Ashby, Darch, Gnangara, Hocking, Jandabup, Landsdale, Lexia, Madeley, Mariginiup, Melaleuca, Pearsall, Pinjar, Sinagra, Tapping, Wangara, Wanneroo |
WA |
9889 |
|
4 |
4350 |
Athol, Centenary Heights, Cranley, Darling Heights, Drayton, East Toowoomba, Finnie, Glenvale, Harlaxton, Harristown, Kearneys Spring, Middle Ridge, Mount Kynoch, Mount Lofty, Mount Rascal, Newtown, North Toowoomba, Northlands, Prince Henry Heights, Rangeville, Redwood, Rockville, South Toowoomba, Southtown, Toowoomba, Toowoomba East, Toowoomba South, Toowoomba West, Top Camp, Wellcamp, Westbrook, Wilsonton, Wilsonton Heights, Wyalla Plaza |
QLD |
9693 |
|
5 |
3805 |
Fountain Gate, Narre Warren, Narre Warren South |
VIC |
8919 |
|
6 |
3806 |
Berwick, Harkaway |
VIC |
8292 |
|
7 |
3029 |
Hoppers Crossing, Tarneit, Truganina |
VIC |
7972 |
|
8 |
3350 |
Alfredton, Ballarat, Ballarat North, Ballarat West, Black Hill, Brown Hill, Canadian, Eureka, Golden Point, Lake Wendouree, Mount Clear, Mount Helen, Mount Pleasant, Nerrina, Redan, Sovereign Hill |
VIC |
7546 |
|
9 |
3037 |
Delahey, Hillside, Sydenham |
VIC |
7229 |
|
10 |
6030 |
Clarkson, Merriwa, Mindarie, Quinns Rocks, Ridgewood, Tamala Park |
WA |
6876 |
