More Than 827,000 Homes In Negative Equity.....And Rising

But if you want to stop repossession, read on...

The Council of Mortgage Lenders (CML, which represents 94% of the UK's residential mortgage lending) indicates that approx 827,000 households are in negative equity, with the figure to rise sharply by the end of 2011

The report commissioned by the Department for Communities and Local Government, was compiled when the economy was in a much worse state than now.

The Council of Mortgage Lenders says for this year, it's predicting not more than 53,000 repossessions.

In the CML's updated property market and mortgages forecast, it says house repossessions will probably rise to 45,000 in 2012 - up from 40,000 this year. However they had already predicted approx 53,000 repossessions.

Describing the UK economy as experiencing a 'weak and patchy recovery', the CML also predict that the number of borrowers classified as in arrears of 2.5% or more will rise to 180,000 this year - up from 170,000 in 2010 - and is likely to remain the same in 2012.

However, though the CML forecasts that property sales this year will drop to 840,000 - the lowest they've been since 2009 - they will probably see a modest recovery to 900,000 in 2012.

If 53,000 homes are taken back this year, it means that more than 1,000 households a week will be affected. This further means thousands of people will be left homeless and this by no means is a small figure. This can add to debt problems and an obvious increase in people seeking debt help. This will only increase the numbers of people going bankrupt or entering into an individual voluntary arrangement (IVA).

Since their peak before the onset of the credit crunch, house prices have fallen by nearly 18 per cent and, although there's considerable variation in future forecasts, we need to brace ourselves for further falls.

The latest housing data from the Halifax – the UK's largest lender – showed that while house prices have remained flat over the last three months, year on year they have declined by 2.6pc.

Recent figures from the Land Registry showed that house prices were declining in every region of the UK, bar London.

If you are behind with your home loan, remember that by taking measures now you can ensure that your home remains safe. One measure that you should immediately take is to seek debt advice. If you are worried about further costs, we will provide debt advice for free and it can throw light on the various debt solutions available that can help you get hold of your debt situation before it spirals out of control.

Having negative equity can make it much more difficult to move home, or to remortgage but it does not mean that you cannot find a suitable debt solution.

Stop My Repossession!

Do Not Despair! You may need to take Action Fast to avoid any serious problems. We can help. CALL NOW on 01743 360600 or see www.webuyanyhome.tv

Call Integrity now for impartial and professional debt advice and help from one of the UK's most respected and recommended debt solutions companies on 01743 272900

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