Home reposessions up two thirds in a year

Cat695

says FSA

reported in the telegraph

http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/5005254/Home-reposessions-up-two-thirds-in-a-year-says-Financial-Services-Authority.html

A total of 46,750 properties were repossessed by lenders during the year, up from 27,900 in 2007, the City watchdog said.

At the end of last year, 377,000 homeowners were in arrears. 10% more than in the third quarter and 31% higher than at the end of 2007.

The FSA's figures for repossessions are considerably higher then those reported by the Council of Mortgage Lenders, which said 40,000 people lost their homes during 2008, the highest level since 1996.

But the FSA figures did show a slight fall in the number of homes that were repossessed during the final quarter of 2008, with 13,028 properties taken over by lenders during the period.

michaels

That is why it is called a recession, people use jobs and overtime and some who were just getting by no longer can compared to artificially low rates during the boom.

For many the issue will have been the 'credit crunch' itself rather than their circumstances, expecting to be able to re mortgage on to a new competitive rate but finding that tightened lending criteria mean they are trapped on artificially (as in set due to the banks capital position rather than market interest rates and risk of default) high svrs.