Repossessions fell by 5% in Q3 and there were 2,100 fewer properties in arrears than in Q2, according to the Council of Mortgage Lenders’ latest arrears and repossession figures.
Some 8,900 properties, representing 0.08% of mortgages, were taken into possession in Q3. The total was 5% lower than the 9,400 cases of possession in the preceding three months and the fourth consecutive quarterly decline.
There was also a modest improve-ment in the number of mortgages in arrears, with 176,100 in arrears of 2.5% or more of the outstanding balance – representing 1.55% of the total – at the end of September.
This was down from 178,200 at the end of June and from 203,800 a year earlier.
This is consistent with the CML’s prediction of 175,000 mortgages in arrears at the end of the year and lower than its original forecast of 205,000 cases.
Michael Coogan, director-general of the CML, says: “Despite the severity of the economic slowdown, and the likelihood of a slow and protracted recovery, a combination of low interest rates and the com-mitment of borrowers, lenders, the government and debt advisers has helped to keep mortgage payment problems in check so far.”