LONDON (MNI) – There were slight falls in UK mortgage arrears and
repossessions in the third quarter, according to Council of Mortgage
Lenders data.
The data suggest the continuing buoyancy of UK employment and still
relatively low effective lending rates are ensuring borrowers are able
to keep up with their mortgage payments. There were 8,200 repossessions
in Q3, down from 8,500 in Q2 and amounting to just 0.07% of all loans.
The cumulative total of properties in possession was 13,000 in Q3,
down from 13,500 in Q2 and equivalent to 0.11% of all loans, down from
0.12% in Q2.
The CML noted a total of 26,300 properties were taken into
possession in the first three quarters of this year, which was an 8%
drop on the same period a year ago.
Arrears were also relatively low. There were 69,700 mortgages 6-12
months in arrears in Q3, down from 70,200 in Q2, amounting to just 0.62%
of all loans.
There was a slight rise in mortgages 3-6 months in arrears, with
these climbing to 99,000 from 98,800 in Q2.
The CML cited the tolerant approach of lenders as another factor
supporting low repossessions.
“The rate of repossession has continued to fall and it’s clear that
lenders want to keep people in their homes,” CML director general Paul
Smee said.
-London bureau: +4420 7862 7491; email: drobinson@marketnews.com
[TOPICS: M$B$$$,MABDS$]