In the latest S&P Rating Mortgage Performance Index (SPIN) report, released early November, both the Prime and Non-Conforming indices continue to reflect very low arrears numbers across Australian RMBS, with arrears again at new post GFC lows. This continues to be consistent with what we are seeing in the Gryphon managed portfolios, where we are not witnessing any stress in borrowers’ payment habits. In fact, quite the opposite — 90+ Days arrears have fallen from 37bps at the start of the year to an expected low of 28bps as at 31 October.
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