Finance Savvy Owners

Australia’s homeowners are financially savvy with about two-thirds of mortgage holders revealing they got ahead by keeping their mortgage repayments at a higher level following interest rate cuts in 2025.

A survey by Mortgage Choice shows many borrowers are proactively managing their mortgages.

Only about a quarter of those surveyed lowered their repayments to free up cash when rates dropped.

The majority of respondents say they will be able to manage if the variable rate increases by 25 basis points and 35% say they can do so without changing their spending.

Mortgage Choice broker Kelly Carter says that as banks assess borrowers on an interest rate 3% higher than what is being offered, many owners can manage fluctuations in the market.

Australian Bureau of Statistics data shows homebuying activity has surged in the first quarter of 2026 with a record increase in the value of first homebuyer loans written after the 5% Deposit Scheme was expanded late last year.

The average size of a first-home buyer’s mortgage is up by 8.5%.