Morning:
14°c
There were fresh hopes for a recovery in the housing market after latest figures from the Council of Mortgage Lenders (CML) today showed a 10% fall in the number of homes repossessed in the second quarter of the year compared to the previous three months.
Lenders said that the number of homes repossessed in the UK fell to 11,400 in the three months to June, compared with 12,700 in the first quarter.
On the year, repossessions were 14% higher, and there was a 2.5% rise in the number of people who fell behind with their mortgage repayments, which hit 205,600 in the second quarter.
But the figures are still being seen as evidence of more green shoots in the economy.
The CML recently slashed its estimate for repossessions in 2009 by 10,000 to 65,000 British homes. It said a combination of factors had helped people who were struggling with their mortgage stay in their home, including low interest rates, increased help from lenders and a raft of Government schemes.
However, the group warned against complacency. The CML's head of policy Jackie Bennett said: “With unemployment rising and the economy still weak, the outlook will remain challenging for the rest of this year and into 2010. But today's data shows that lenders are committed to helping borrowers manage their way through temporary payment problems and get their mortgage back on track over time, avoiding possession where possible.”
The news follows signs that prices in the housing market are bottoming out. The Halifax, Britain's biggest mortgage lender, said prices rose 1.1% in July, to an average cost of £159,623.
Reader views (13)
A fall in home repossessions? Good or not so good news? Could it be the low interest rates on mortgages that is fueling this? What will happen when interest rates rise? Too early to cheer yet.
- Albert Hall, hove england
Andrew: "The fact remains that many thousands of people borrowed well beyond their means during Mr Browns' false boom and were encouraged to do so by this idiot". Why is it always someone else's fault? People chose to take out such loans and they shouldn't now be blaming someone else for their own excesses.
- Tonyb, Melbourne, Australia
Keith, You're growing more and more like your political masters, recycling old news, in the belief that a lie told often enough may be believed. Please rephrase your comment, it's wearing a bit thin. You have repeated the same three line mantra for weeks now, occasionally rearanging it slightly,as you have done here in your second post. If you can't change it, perhaps the scrutinisers will stop it. I don't mind comment butsurely it has to be fresh.
As for GB rescuing the country from the worldwide economic recession, this is a statement that can't possibly be true. Accourding to GB we are in this mess because of a global recession, and which he says was nothing to do with him. He obviously didn't see it coming, and didn't do anything to mitigate it. Therefore if as he says, others got us into this mess, then surely others have to get us out of this mess. All he has done is throw my money at various projects that have helped other countries, increasing the possibility of all us poor sods who are still in employment paying more tax. Whilst at the same time, appointing people who think up various tax dodges for his rich business friends to become Chairmen of various quangos, therefore earning vast sums of my money, without declaring a blatant conflict of interest.
- Alan, carlisle uk
Keith, how about some reasoning behind that 'big up' for Gord and the crew? I mean could you explain to the rest of the world how Gord actually went about saving the world and protecting the UK from the worst of the recession, that being the recession which is apparently over in France and Germany.
- M, London
Well written Mr. Price - you prove beyond doubt the reasoning ability of all dyed-in-the-wool labour supporters. Keep up the good work and good luck at the next election to all the comrades.
- Never Eat Tuna Again, London
Some people like Mr Price of Luton are easily convinced."
No just sure that our PM deserves plenty of credit. indeed Gordon Brown is rescuing the country from the worldwide economic recession, which has hit many other countries far harder than it has us here in the UK
- Keith Price, Luton England
Andrew Nichols, Ely, England - Fine piece of analysis and entirely true. Mr Price, of course, parrots away to no consequence, but we tolerate his odd flights of fancy (just as we have fully grasped the terrifying housing mess that New Labour via Gordon Brown and Tony Blair have created since 1997.
- Ted, London
Some people like Mr Price of Luton are easily convinced.
The fact remains that many thousands of people borrowed well beyond their means during Mr Browns' false boom and were encouraged to do so by this idiot.Many had interest only morgages which will pose four problems for the future. Problem 1)They will never own their properties because they will never repay the capital 2)If they fall unemployed they will fall further behind with payments.3)Because they only pay interest many are now in severe negative equity ( a fact not mentioned in these figures)and 4)When interest rates eventually rise the free ride these people are now enjoying will be over.
As for economic recovery rebuilding confidence in the housing market....ask the 850 people made redundant at Allied Carpets how confident they now feel
- Andrew Nicholls, Ely ,England
Very amusing Keith. Nice to have a well developed sense of humour.
- Abe, Crawley, UK
Once again Keith, see a doctor, your medication isn't working.
- M, London
Some people like Mr price of Luton are easily convinced.
The fact remains that many thousands of people borrowed well beyond their means during Mr Browns' false boom and were encouraged to do so by this idiot.Many had interest only morgages which will pose four problems for the future. Problem 1)They will never own their properties because they will never repay the capital 2)If they fall unemployed they will fall further behind with payments.3)Because they only pay interest many are now in severe negative equity ( a fact not mentioned in these figures)and 4)When interest rates eventually rise the free ride these people are now enjoying will be over.
As for economic recovery rebulding confidence in the housing market....ask the 850 people made redundant at Allied Carpets how confident they now feel.
- Andrew Nicholls, Ely ,England
Are they up or down Lucy... Still looks like a bad situation, especially with unemployment rising and house prices still too high. So this trend is set to continue until, those two factors change.
- Mike, London
Well done MR Gordon Brown for rescuing the country from the worldwide economic recession, which has hit many other countries far harder than it has us here in the UK
- Keith Price, Luton England
