THE GENWORTH FINANCIAL
MORTGAGE TRENDS REPORT
NEW ZEALAND

2008 Report: Spotlight on Mortgage Stress

Following on from the success of our annual Mortgage Trends Report launched in 2007, this year our report focuses on the key emerging trend, Mortgage Stress in the New Zealand market.

The 2008 report seeks to understand how borrowers are coping with their mortgage repayments, the causes of stress and levels of consumer indebtedness. Based on a survey of over 1,000 New Zealand adults, it also examines the issues facing those outside the property market, including the ‘rental trap,’ and looks at solutions available to facilitate homeownership.

Key highlights from the report include:

• The percentage of borrowers anticipating difficulty with mortgage repayments during some or all months of the coming year has increased from 23% in 2007 to 34% in 2008.

• 40% of non property owners would like to purchase their first property in the next 12 months, only 9% feel they will be in the financial position to do so.

• The average monthly mortgage repayment has increased by 13% in 2008. From $1470 per month in 2007 to $1660 per month in 2008.
  

2007 Mortgage Trends Report

Based on a survey of over 1,000 respondents in New Zealand, the 2007 Genworth Financial Mortgage Trends Report provides key insights into the dynamics of the mortgage and property markets.