Australia’s lenders repossessed 22.5 per cent more homes in 2011 than in 2010, new data has revealed.
A number of NSW beachside suburbs on the Central Coast were hit hard, with Terrigal and The Entrance both recording a high number of repossessions.
The western suburbs of Sydney were also hard hit.
The latest repossession figures come as little surprise to industry pundits, with recent data from Genworth Financial showing more than 25 per cent of Australians are currently suffering from mortgage stress.
According to Genworth’s latest Homebuyer Confidence Index, released in September, mortgage stress has increased from 21 per cent in March 2011 to 25 per cent.
RFi director Alan Shields told Real Estate Business that borrowers were struggling under the rising cost of petrol, electricity and groceries.
“The general cost of living has increased dramatically over the past few years and this is impacting borrower confidence. In addition, at the time of this study, the carbon tax was also playing upon people’s minds,” he said.