Second charge repossessions down 25.6% in Q1
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Repossessions for second charge mortgages were down by 25.6% in Q1 2011, compared with Q1 2010, show figures released today by the Finance & Leasing Association.
Second charge mortgage providers repossessed 195 properties during Q1 2011.
The FLA says the low number of repossessions reflects lenders’ willingness to work with their customers to agree ways of avoiding repossession.
Fiona Hoyle, head of consumer finance at the FLA, says: “The number of second charge repossessions has fallen for the seventh successive quarter, year on year. Although job losses and interest rate rises are likely to put further pressure on household incomes this year, we don’t expect the number of repossessions in 2011 overall to exceed the 2010 total.
“Our advice for borrowers worried about making payments on a second charge mortgage is to contact your lender as soon as possible. And make sure you talk to both your first and second charge lenders because the earlier you make contact, the more help they can provide.”
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Readers' comments (1)
Paul | 16 May 2011 11:04 am
This is also probably to do with falling prices. No point repossessing a property in negative equity if yo uhave a second charge....
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