Borrowers are keeping on top of their loans

Fewer Australians are falling behind on their mortgages. In fact, the share of home loans running 30-89 days late dropped from 0.66% in June 2024 to 0.55% in June 2025, according to APRA, the banking regulator.

Put simply, that means more than 99 out of 100 borrowers are up to date with their repayments – a really positive sign. Lower interest rates this year have helped ease pressure, and many households are managing their budgets better.

The data also shows borrowers are making different choices with their new loans:

• More people are putting down bigger deposits – 69.6% had a deposit of at least 20% in June 2025, up from 68.1% the year before
• Some are stretching their borrowing power – 5.5% of new loans had a debt-to-income ratio of six times or more, up from 5.0% in 2024

This mix shows that while most borrowers are in good shape, people approach home loans in different ways – some want the safety of extra equity, while others focus on buying power.

If you’d like to talk through your own loan strategy – whether it’s planning a new purchase or refinancing an existing loan – please get in touch.