Mortgage debt causing older Australians distress and worsening mental health
Since the late 1980s after accounting for inflation, the mortgage debt among older Australians has increased by 600 percent and nearly half of home owners aged 55 to 64 are still paying off a mortgage. According to Australian housing and Urban Research Institute (AHURI) said more Australians are facing difficulty to pay off the mortgage before retirement. The older Australians owe the bank more than the value of their home. The house price has risen triple, but the income fall behind and grow slowly. The number of older Australians are increased to be stuck in paying private rental when they are no longer work or they cannot afford to buy a home in the first place. Also, more retirees use the superannuation to pay off mortgage, they would likely to be depend on the age pension. As a result, it will affect on the government fund and age pension system.