Kurnell homeowners: high mortgage stress in Shire suburbs

Homeowners in an idyllic beachside suburb in Sydney’s south are quietly carrying a heavy financial burden as they struggle to make repayments.

Homeowners in an idyllic beachside suburb in Sydney’s south are quietly carrying a heavy financial burden. Picture: Darren Leigh Roberts

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Homeowners in an idyllic beachside suburb in Sydney’s south are quietly carrying a heavy financial burden as they struggle to make repayments.

Kurnell has recorded the fourth highest mortgage stress levels in NSW, with 16.4 per cent of homeowners spending at least 30 per cent of their pre-tax income on home loan repayments.

Only half as many homeowners are experiencing mortgage stress elsewhere in the region, with 7.8 per cent of Gymea and Gymea Bay residents and 8.3 per cent of Penshurst residents spending a third of their income on their mortgage.

Eight per cent of Penshurst residents experience mortgage stress. (AAP IMAGE/Simon Bullard)

RateCity.com.au research director Sally Tindall said it was alarming to see so many Kurnell households experiencing financial stress.

“What it means is that these households have little cash left in reserve after the bills are paid and the family is fed each month,” Ms Tindall said.

“No homeowner wants to default on their mortgage – if you don’t think you can afford a rate rise, the time to act is now.”

Seven per cent of Gymea Bay residents experience mortgage stress.

Ms Tindall said homeowners could refinance with lower rate lenders to keep their head above water when rates increased.

“If you live in the home you own, and are paying down your debt, there are plenty of rates available below 3.8 per cent,” Ms Tindall said.

“At the very least, check what rate your bank is offering new customers and ask then them to match it.”