Home repossessions rocket by 50%But expected annual total to be revised downwards

15 May 2009

The number of people who lost their homes soared by more than 50% during the first quarter of the year, figures showed today.

For impartial advice on what to do if you're in arrears or face having your home repossessed, see our guide to mortgage arrears and reposessions.

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Government schemes could give you mortgage help to stop repossession

A total of 12,800 properties were repossessed by first-charge lenders during the three months to the end of March, up from 8,500 a year earlier and 10,400 during the previous quarter, according to the Council of Mortgage Lenders.

But despite the steep jump in people losing their homes, the group said its forecast of 75,000 repossessions during 2009 now looked pessimistic, and it expects to revise the figure downwards.

CML more optimistic

Commenting on arrears and repossessions, CML director general Michael Coogan said: 'It is clear that mortgage arrears continued to increase, so did repossessions, but not as much as our 75,000 forecast figure for the year would suggest. 

'So our forecast now looks pessimistic and we expect to revise it over the next month or so.

'Lenders are acutely conscious that behind the statistics are real people, many of whom are affected by the economic downturn and its impacts on unemployment, changes in circumstances and inability to refinance.'

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