<\/p>\n
There are mounting predictions of another rate hike on Tuesday, when the RBA announce their decision on May 05. Picture: NewsWire \/ Gaye Gerard<\/p>\n
Finder\u2019s money and home loans expert Richard Whitten said many Australians are walking a financial tightrope.<\/p>\n
\u201cThis research reveals how little buffer many households have left,\u201d he said.<\/p>\n
\u201cWhen you consider how persistently high the cost of living has been over many years, it\u2019s no surprise so many borrowers are nearing their limit again.\u201d<\/p>\n
Mr Whitten said a significant portion of households are already at breaking point.<\/p>\n
\u201cFor a lot of borrowers, there\u2019s very little wiggle room left in the budget,\u201d he said.<\/p>\n
\u201cEven one or two more rate rises could be enough to push some households into default.\u201d<\/p>\n
Mr Whitten said buyers are going to be more exposed in some ways in Sydney.<\/p>\n
\u201cPrices are so much higher compared to everywhere else,\u201d he said.<\/p>\n
\u201cPeople who\u2019ve borrowed or bought property recently are the most exposed.\u201d<\/p>\n
MORE: RBA rate hikes hit Sydney home prices hard<\/a><\/p>\n Richard Whitten. Picture: Supplied<\/p>\n Finder data in April also spotlights 39 per cent of Aussie homeowners say they are struggling to pay their mortgage and 44 per cent of Aussie tenants said they were struggling to pay their rent.<\/p>\n While 35 per cent of Australians (who don\u2019t currently own property) don\u2019t think they\u2019ll ever be able to afford their own home.<\/p>\n Excessive house and rent prices in Sydney could see a substantial blow to those who call the city home.<\/p>\n With fear about the impact of another interest rate rise intensifying, The Daily Telegraph asked Sydneysiders in the CBD how they felt about another potential hike, with the responses affording telling insight into current cost-of-living pressures. <\/p>\n Sydney homeowner Joel Gollan said like many other Aussies with a mortgage he was feeling nervous about another potential rate increase. Picture: Justin Lloyd<\/p>\n \u201cI think like most of Australia\u2019s population who has a mortgage at the moment, I\u2019m a little bit nervous about another rate increase,\u201d homeowner Joel Gollan said.<\/p>\n \u201cYou just have to tighten the belt a bit.\u201d<\/p>\n According to homeowner Kylie Andrews, who lives with her teenage boys, further rate hikes would see their family make certain cuts to spending.<\/p>\n \u201cYou try and cut down on other things, maybe not go on as many holidays as previously,\u201d she said.<\/p>\n \u201cWe\u2019ve still got school fees and things like that but you just try and make it work.<\/p>\n \u201cMaybe dining out not as much.\u201d<\/p>\n Sydney homeowner Kylie Andrews said cutting back on holidays and dining out was a potential way to help curb rising prices. Picture: Justin Lloyd<\/p>\n Sydney homeowner Tahnee Clughessy said she was cutting back spending on groceries.<\/p>\n \u201cEverything is really expensive, fuel as well, everything is out of control at the moment,\u201d she said.<\/p>\n \u201cEverybody, all of my friends are struggling at the moment and some people just don\u2019t know how they are going to continue on, the gap is just too big now.\u201d<\/p>\n<\/p>\n
<\/p>\n
<\/p>\n