Repossession Orders Soar
Number of mortgage repossession orders granted rises 66% compared to same time last year
26th October 2005
New official figures show that ever greater numbers of homeowners are struggling with their mortgage repayments, with the number of mortgage repossession orders over the last 3 months hitting 20,000 - a rise of 66% compared to this time last year.
The total number of legal cases concerning mortgage arrears, not just repossession orders, also rose dramatically, by 55% to 30,000.
A repossession order gives the mortgage lender the legal right to take over ownership of the property and evict the occupier, but it doesn't necessarily follow that such an order means a repossession will occur, as in many cases a deal can be struck to give the homeowner more time to clear arrears.
It's predicted that the total number of actual repossessions this year will reach 10,000. While this represents a rise over recent years, it is still below the long term average figure of 30,000 a year, and way below the crisis levels of 70,000 a year during the last property crash of the early 90s.
Read More: BBC : More homeowners in debt trouble
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More on Mortgage Repossession : Repossession Court Actions Up 35% (News, 28/04/2005) |
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