Repossessions have reached their highest level for 12 years as 40,000 homeowners lost their properties in 2008. The new figures from the Council of Mortgage Lenders (CML) reveal a 55 per cent increase on 2007 when nearly 26,000 homes were repossessed . Although the figures are 45,000 less than the original CML forecast, they reflect a considerable increase in the number of people unable to keep up with loan repayments. In 2008, the number of people in arrears rose by over 50 per cent, indicating further repossessions may be on the horizon. Forecast from home loan firms indicate there will be 75,000 repossessions in 2009.
CML director general, Michael Coogan, warned, ‘There seems to be a sharp rise in cases where borrowers are handing back their keys or abandoning properties. We strongly urge borrowers to contact their lender and work with them before taking this step, as there may be other solutions. We know the plethora of schemes and initiatives is daunting, and we are working closely with government and advice agencies to try to simplify the information available, and ensure that those borrowers who may qualify for help get access to the information and advice that they need at the right time.’





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