Jack Lynch and his partner moved out of Sydney to the picturesque but cheaper Blue Mountains to become homeowners in 2021, and promptly locked in a cut-rate, fixed-rate loan.
The couple, in their early 30s, are now bracing for that loan to expire, and for repayments to increase by more than $2,000 a month.
“It is going to be a massive, massive struggle,” Lynch says.
His partner, who is on maternity leave, has picked up two teaching jobs, and Lynch is negotiating with his own employer to take on extra work. At the same time, they are caring for three young daughters, including a one-month-old.
“We moved so far away to afford a mortgage instead of rent to have extra room for the girls – that line of thinking is now totally pointless.”
Lynch and his partner are among 880,000 Australian households with fixed-rate mortgages expiring this year who will need to find hundreds, if not thousands, of dollars more each month to meet repayments, as an era of cheap rates is replaced with financial stress.
Source: www.theguardian.com
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Sandstone Group
