The Department for Constitutional Affairs has revealed that the number of possession orders on mortgage arrears has risen by 15% in the last year.
Possessions are ordered as a way for lenders to firmly take action on unpaid mortgages, but can be abandoned as soon or as late as the tardy payments are met.
During Q3 2006, 34,626 mortgage possession actions were entered, and a total of 24,017 orders were made. This is a rise of 22% on Q3 2005.
The figures report how many possession proceedings have been issued, and how many orders for possession have been made by the county courts. Since many of the orders made will not have been enforced, these figures do not reflect how many properties have been taken into possession.
The council of mortgage lenders release bi-annual figures of orders that actually lead to possession; CML’s last set of figures show that out of 70,843 orders made, only 10,310 possessions actually came to fruition.