Repossessions at a two-year low, says CML
Home repossessions are at their lowest for nearly two years, according to the Council of Mortgage Lenders.
Data published by the CML today shows there were 8,500 repossessions by lenders in the second quarter of 2012, the lowest figure since the final quarter of 2010, when there were 8,200 homes repossessed.
Repossessions have fallen year-on-year by 8 per cent, from 9,300 in the second quarter of 2011.
The data also shows the number of mortgages in arrears has flat-lined. There were 157,400 loans with arrears of 2.5 per cent or more at the end of June, compared to 157,800 at the end of March.
Paul Smee, director general of the CML, said: ‘The figures show that lenders, borrowers and debt advisers are working together to get through the current period of economic difficulty and keep mortgage possessions in check.
‘Generally, when borrowers prioritise their mortgage commitments, lenders can provide help appropriate to their individual circumstances. But success in managing temporary payment problems depends on everyone working together, and it is essential for anyone worried about their mortgage to talk to their lender as soon as possible.’
Housing minister Grant Shapps said: ‘Repossession is a frightening prospect for any homeowner, and this government has worked hard to help keep the pressure off by tackling the deficit and keeping interest rates at a record low.
‘In these tough economic times, it’s good to know that the protections in place are preventing the worst for many families. But while repossessions remain lower than anticipated, there’s no room to be complacent. The advice and financial support is in place to prevent anyone from reaching that last resort measure of repossession. I would urge anyone feeling the pinch to take advantage, and seek help as soon as possible.’
CML also published data today showing that buy-to-let lending increased in April to June year-on-year, with the volume of loans up 14 per cent from 29,100.