Home Repossession Rates Down Across the UK
August 25, 2015
The frequency with which mortgage lenders are taking steps to repossess properties owned by indebted borrowers around the UK fell sharply during the second quarter of this year.
According to the latest data from the Council of Mortgage Lenders (CML), there were roughly 2,500 properties repossessed during the three months from April to June 2015.
These numbers compare favourably with the figure of 3,000 repossessions that the CML reported for the first quarter of the year and 5,400 as was recorded for the second quarter last year.
The CML noted that a majority (1,800) of the 2,500 properties repossessed in the second quarter were owner-occupied, while the remaining 700 or so were bought to let out to tenants.
“Low interest rates are acting as a significant support for home-owners in general, and are likely to be helping to stave off low level arrears for stretched households in particular,” commented Paul Smee, the CML’s director general.
“As ever, we urge borrowers to think ahead to when interest rates rise, and to contact their lender without delay if they are in difficulty – prompt action helps to prevent problems worsening.”
Meanwhile, the UK’s Finance & Leasing Association (FLA) has released figures that show a sharp fall in the number of second charge mortgage repossessions around the country during the second quarter of this year.
According to the FLA, there were 49.6 per cent fewer instances of second charge mortgage repossession between April and June of this year than was the case during the same three-month period in 2014.
“The further decrease in repossessions reflects second charge mortgage lenders’ commitment to helping customers in financial difficulty,” said Fiona Hyde, head of consumer finance at the FLA.
A separate data release from the CML in recent days showed that gross mortgage lending was worth some £22 billion across the UK in July, which represents the highest overall value for mortgage lending nationwide in seven years.
“We expect lending activity in the rest of the year to be underpinned by improving economic fundamentals, but kept in check as any upward pressure on house prices further stretches affordability for some buyers,” CML economist Mohammed Jamei said in response to his organisation’s latest findings.
If you live in Scotland and you’re worried about the threat of home repossession or you’re having to deal with bailiff letters, contact Scotland Debt Solutions today and one of our advisers can help you.
The start of a new year is the perfect time to take stock of your finances and put plans in place for a financially savvy year ahead. While you may feel your problems are insurmountable, there are always things you can do to help, most of them surprisingly easy. Here are 7 ways you can […]
If you have credit card debt which is attracting a high level of interest, moving this balance onto a lower interest card could save you a considerable amount of money. This process is known as a ‘balance transfer’, and if done correctly, this process could save you money and also reduce the time it takes […]
Many thousands of young Brits are being actively encouraged towards taking on debt and spending borrowed money even before they reach their 18th birthdays. That’s according to the price comparison website comparethemarket.com, whose research suggests that roughly one in four 16 and 17 year olds in the UK have been offered credit cards or asked […]
If you’re in serious debt with no hope of repaying your unsecured creditors, you don’t have to wait for a creditor to take legal action against you. You may be able to take matters into your own hands and apply for sequestration (bankruptcy in Scotland). This also prevents your situation from worsening. There are two […]
If you’re looking to save some money it’s a good idea to make a detailed budget that lets you see where your cash is currently being spent, and offers an overall view of your finances. You’ll need to collect together your income and expenditure details, including annual costs such as insurance, car expenses, birthdays and […]
Scotland has a number of formal debt solutions that can help you deal with a difficult financial situation. It’s advisable to take action as soon as possible, however, to prevent your levels of debt escalating when interest and other charges are added. Obtaining professional advice is key in this respect. An approved money advisor or […]