Their risk awareness did not increase until the problems in Greece became apparent. On the other hand, this also applies to the possible spread of the sovereign debt crisis via vulnerable banking systems. It was this very problem of contagion that made rescue measures necessary in the first place.
As had been the case in Sydney earlier in the decade, the recent increase in loan arrears in these states followed a sharp increase in housing loans and unusually strong rises in house prices between 2006 and 2008.