Why only count the last 3 rate rises UT and why use the official rate when banks have increased their rates higher?
Using the historical SVR rates site here we can see that rates are around 1.5% higher than they were 12 months ago. On a $300k loan that's an extra $4500, only $12.30 per day right?
Average full-time earnings in Australia were $62,270pa in 2009 (According to ABS). Approx $50k after tax, which is around $136 per day. That $12.30 per day is not far off 10% of 1 persons take home wage. That is a pretty big chunk in my opinion, given it's the increase only...petrol costs are rising...
We had record numbers of home buyers borrowing in early 2009, borrowing at record low interest rates (including some teaser rates that were 3.99%), with record loan sizes for FHBs at the time both nominally and compared to non-FHBs...most of these borrowers would have had serviceability calculated with only a 1.5% buffer, many are probably already struggling...
Downplay the "3 small rate rises" all you like, you are trivializing what could end up being a large problem.
