#1 fund for weathering market ups and downs3
SuperRatings' Pension of the Year 4 years in a row4
As job losses continue to rise as a result of the pandemic due to COVID-19, more homeowners may find greater difficulty repaying their mortgage.
To support Australian homeowners facing financial hardship as a result of the COVID-19 outbreak, some banks are offering up to a six-month repayment deferral on home loan repayments for eligible customers. If you are struggling financially and looking to pause your home loan repayments, contact your bank to discuss how they may be able to help you.
There’s no single definition of mortgage stress, however a common benchmark refers to paying more than 30% of household income in mortgage repayments and associated housing costs.
Mortgage stress is not uncommon – even before the impacts of COVID-19 have been fully realised.
Mortgage stress trends to February 2020 show 32.9% of mortgaged households wrestling with cash flow issues.1 This translates to 1.08 million households in financial stress, according to figures released in March 2020 by Digital Finance Analytics.
If you are experiencing or at risk of mortgage stress, you may like to consider some tips mentioned below to help ease the burden. If you are experiencing financial difficulty due to COVID-19, you may wish to contact your bank.
Mortgage stress may only be short term. If your ability to meet your mortgage repayments is impacted by the COVID-19 outbreak, you may like to find out if you are eligible for support through the Queensland Government’s $4 billion COVID-19 economic relief package.
Other steps may include:
If you are worried about your mortgage repayments, there are steps you can take ahead of time to help avoid mortgage stress. These may include:
For over 100 years QSuper has been there for members – in the good times and the tough ones – and today is no different.
Read more about coronavirus and your super
Book a financial advice appointment
1. Digital Finance Analytics, 5 March 2020, Mortgage Stress Still Climbed in February, accessed 14 April 2020 at www.digitalfinanceanalytics.com/blog/tag/mortgage-stress
Decisions on home loan type and features can pile up for anyone thinking of signing up for a home loan: Fixed versus variable? Interest only or principal and interest? Packed with features or plain and simple?
QSuper members feel more in control of their money and more confident about their financial future, a new survey shows.
Find out your credit rating to better understand your financial reputation and avoid a surprise rejection with QSuper’s easy guide.
How a mortgage broker could save you time and effort when negotiating your home loan or refinancing.