The length of time it takes to sell a repossessed property has fallen with the time to exchange running at less than half that for standard property sales.
Data from Spicerhaart Corporate Sales for the year to the end of April shows that repossessed properties take an average of 21 days to exchange from the sale being agreed, compared to the national average of 59 days for standard property sales according to figures from Hometrack.
For April alone, the average time taken for a possessed property transaction to complete from the day of possession was 106 days, 23 days quicker than a year previously.
The time from possession to market in April was nine days.
Mark Pilling, managing director at Spicerhaart Corporate Sales, says: “Repossessed properties remain attractive for both investors and first-time buyers, as their chain-free nature allows a fast and efficient property transaction with no delays due to other party involvement.
“While the number of possessions may be falling, there remain many factors that could lead to a reversal of these fortunes.
“Potential rises in interest rates, increasing unemployment and diminishing support for forbearance measures could mean that borrowers struggle to meet repayments in future, possibly resulting in increased possessions.
“It is essential that asset managers continually asses their practices and put the best measures in place to help lenders sell these possessed properties and reduce the pain for all parties concerned.”