Mortgage Stress Calculator

The standard benchmark for mortgage stress is when housing costs exceed 30% of gross household income. Enter your details below to see where you stand — and get tailored next steps.

What Is the 30% Mortgage Stress Threshold?

The commonly used benchmark is that a household is under mortgage stress when more than 30% of gross income goes toward mortgage repayments. Roy Morgan uses a more nuanced methodology that adjusts the threshold based on income level and essential spending, but the 30% figure is widely used as a quick indicator.

As of March 2026, Roy Morgan data shows 26.6% of Australian mortgage holders — approximately 1.319 million people — are at risk of mortgage stress following the RBA's back-to-back rate hikes to 4.10%. If a third hike occurs in May 2026 (taking the cash rate to 4.35%), that figure is projected to jump to 30.3%, affecting an estimated 1.6 million Australians.

Next Steps If You're Stressed

Mortgage stress is not a fixed state — it's a signal to take action before things worsen. The most effective steps, roughly in order of impact:

1. Call your lender. Ask for a rate review first (costs nothing, often shaves 0.2-0.5% off). If that's not enough, ask about their hardship program — every lender is legally required to have one.
2. Check refinancing options. Use our break-even calculator to see if switching makes sense. A 0.5% rate reduction on a $600,000 loan saves about $180/month.
3. Get free advice. The National Debt Helpline (1800 007 007) is staffed by qualified financial counsellors — completely free and confidential.
4. Review your budget. Focus on the biggest discretionary categories first — subscriptions, dining out, insurance (shop around).