- Along with searching for interest rate rises, there was a spike ins searches for the RBA and home loans
- Refinancing and home loan calculators were also popular search terms
- "How much can I borrow mortgage" was the most searched term
Analysis conducted by Great Southern Bank has found millions of Australian mortgage holders and would-be buyers turned to Google for advice while navigating the economic environment of 2022.
The analysis showed that searches relating to interest rate rises boomed by 750% in the past year – probably not surprising given the official cash rate didn’t change at all last year.
There was also a spike in inquiries about the Reserve Bank of Australia (RBA) and home loans.
The top search terms about home ownership in 2022
- “Interest rate rise” – +750% YoY
- “RBA cash rate” – +500% YoY
- “RBA interest rate” – +300% YoY
- “Fixed rate home loans” – +150% YoY
- “Fixed interest rate home loan” – +100% YoY
In terms of refinancing, home loan, repayments stamp duty and interest rate calculators surged to a record level of popularity, with the cost of living and interest rates increasing throughout 2022.
Great Southern Bank’s own refinance calculator saw a 16% spike in interest during the last quarter.
The top search terms about refinancing in 2022
- “Pay calculator” – increased by more than +5,000%
- “Borrowing capacity calculator” – more than +5000%
- “Fixed rate home loans” – +600% YoY
- “Borrowing power calculator – +190% YoY
- “LMI calculator” – +120% YoY
In terms of home ownership questions, how much one could borrow topped the list, with other questions surrounding a reverse mortgage, lender mortgage insurance and first home buyer’s grant.
The top home ownership questions in 2022
- “How much can I borrow mortgage?”
- “How much can I borrow home loan?”
- “How to calculate mortgage?”
- “What is a reverse mortgage?”
- “How much deposit do I need for a home loan?”
- “How much is lenders mortgage insurance?”
- “What is refinancing?”
- “How much is the first home buyers grant?”
End of a tough year for homeowners
Megan Keleher, Great Southern Bank Chief Customer Officer, noted that 2022 had been a tough year for mortgage holders – who, for those on a variable rate, have faced their eight consecutive interest rate rise – and first home buyers who may have a deposit but are unable to afford repayments.
“Rising interest rates and the increased cost of living have been affecting household budgets and driven more customers to seek options to save on their home loans,” said Ms Keleher.
“They’re using the internet to find out how much they can borrow, how to refinance, and what support may be available for first home buyers.
She noted that using tools like a refinance calculator can really help.
“And our data shows that applicants who use a calculator when submitting their application are four times more likely to get their loan approved,” she said.
“Still, this is a complex area and DIY home loan research will only get you so far. We’d encourage borrowers – and particularly first-time buyers – to talk to a broker or bank home loan specialist. They can help look at affordability, budgeting, and help explain the government grants and refinancing offers that can cut years from a home loan.”
Megan Keleher, Great Southern Bank Chief Customer Officer
“As this research reflects, we know that there are still first home buyers in the market eager to achieve their home ownership goals.
“We’re seeing strong demand for government schemes, including the new Regional First Home Buyer Guarantee, giving much-needed help to first home buyers outside of our capital cities where house prices are often more affordable.
