Bottoming out at less than 5% of total deferrals in September, in October 90%-or-greater LVR borrowers amounted to 10% of the deferred loan book, implying more of them asked for an extension than those with larger deposits.
In the wider market, those with 90%-or-greater LVRs made up just 6% of the total loan book, according to the Australian Prudential Regulation Authority (APRA).
This is at a greater ratio than in June, where 90%-or-greater borrowers made up 5% of the loan book and 8% of deferred loans.
APRA does not publish data on the proportion of specific risk profiles that re-enter or extend their home loan deferrals.
Buying a home or looking to refinance? The table below features home loans with some of the lowest variable interest rates on the market for owner occupiers.
Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Additional Repayments | Split Loan Option | Tags | Features | Link | Compare | |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
5.69% p.a. | 6.16% p.a. | $2,319 | Principal & Interest | Fixed | $0 | $530 | 90% | Featured |
| Disclosure | |||||||||
5.99% p.a. | 5.90% p.a. | $2,396 | Principal & Interest | Variable | $0 | $0 | 80% | Featured Apply in minutes |
| Disclosure | |||||||||
6.09% p.a. | 6.11% p.a. | $2,421 | Principal & Interest | Variable | $0 | $250 | 60% | Featured |
| Disclosure |
As of 31 October, $88 billion worth of loans were deferred, representing just 3.3% of the banks' total loan books.
Exits also outweighed new entries for the fourth straight month, totalling $100 billion loans expiring or exiting deferral, and just $12 billion entering or being extended.
This was because as many as half of borrowers came off their six-month deferrals at the start of October.
In August, CommBank's 90%+ LVR borrowers had a 13.5% share of the total loans deferred, a figure which climbed to 15% in October.
Newcastle Permanent also had a 24% share in 90%+ LVR loans deferred.
Bendigo and Adelaide Bank also had the highest share of interest-only loans deferred at 21%.
For investor loans, 86% of Regional Australia Bank's investor loans were deferred.
Photo by Jonathan Francis on Unsplash
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