News
5 September, 2024
Somerset mortgages on the rise
Senator Paul Scarr has released research showing an increase in mortgage payments across the Somerset region since 2022.
According to Mr Scarr, data provided by the Parliamentary Library shows the cost of mortgage payments in the Somerset region has increased dramatically since the last federal election.
“We know that inflation and interest rates have soared. I wanted to see the impact on our local residents based on the increase in interest rates and movements in property prices in the Somerset region,” he said.
For an average house in Esk, the cost of a monthly mortgage payment has increased by $1,431 - that is a 122.2 per cent increase, or $17,172 a year.
For an average house in Kilcoy, the increase is $1,164 a month, or $13,968 a year (a 74.5 per cent increase).
For an average house in Lowood, the increase is $1,272 per month, or $15,264 per year (a 99.3 per cent increase).
The average rate for a variable mortgage surged from 3.05 per cent to 6.22 per cent.
“Housing affordability is a critical issue that demands urgent action. Somerset residents with a mortgage are paying thousands of dollars a year more. It is just not good enough,” he said.
Federal Member for Blair, Shayne Neumann, said it is difficult to respond to these claims without seeing the details of the research, like sample size and scope of the target sample used.
“Headline inflation is less than half its peak and much lower than the 6.1 per cent we inherited at the time of the election,” he said.
“Both the Reserve Bank of Australia and the Australian Bureau of Statistics have been clear that our policies and responsible economic management through back-to-back budget surpluses are helping to reduce inflation in the economy.
“Our expanded Home Guarantee Scheme is helping thousands of homebuyers in Blair to access the housing market.
“The LNP needs to help Australian families not block every attempt to provide support."
