Repossession sales double year-on-year

Sales of repossessed properties over the last three months have doubled from the same time last year, says the Asset Management Group.

The firm, which manages housing assets on behalf of lenders, has seen a month-on-month increase of properties under offer since the beginning of the year.

AMG says this is a positive sign for the overall housing market.

Simon Matthews, managing director at AMG, says: “Predictions of repossession levels this year continue to be high, but with housing stock actually being sold it suggests a positive underlying confidence and a movement of the market in the right direction.”

He says this may be because prices have fallen to levels where low LTV ratios can be met, or perhaps sentiment that the housing market has hit the bottom.

Matthews says the market activity may also be driven by buy-to-let investors capitalising on lower prices in a bid to make big returns when it comes to renting.