One in 20 Mortgage Holders Spending More Than They Earn, RBA Report Finds

The Reserve Bank says households are surviving its repeated interest rate rises, but three percent of owner occupiers are now in a serious financial trouble.

The RBA warns that further weakness in the Chinese property sector could affect that country's economy and "spill over to the rest of the world, including Australia." Anthony Devlin/PA

The Reserve Bank of Australia (RBA) has disclosed that around one in twenty families with mortgages are now spending more than they earn due to the interest rate rises it has imposed, with relief expected—at best—over a year away.

Most mortgagors have experienced a 30 to 60 percent increase in their minimum payments since the first increase in the cash rate in May 2022.