Charities Call to Stop Repossession

Leading charities have warned against complacency saying more needs to be done to stop repossession.

The need to stop repossession is still an urgent one for many homeowners across the UK. The housing slump and credit crunch has had a huge impact on many ordinary people across the UK as well as bankers and investors. More people have had to find ways to stop repossession as their finances took a battering and unemployment rose. And many homeowners are victims of the previous decade where easy credit and unaffordable mortgages were practically encouraged. Getting onto the property ladder has always been seen to be something of a Holy Grail in the UK – especially with the rise of what has been dubbed ‘property porn’ as TV shows, magazines and newspapers indulged in interior décor and property prices with mortgages jokingly becoming the leading topic at dinner parties. As a result, all classes and income levels have been hit by the housing slump, prompting more people to seek out ways to stop repossession.

Stop Repossession: Threat not over

And now leading charities have spoken out warning the UK not to be complacent about the very real threat of rising repossession. The warning came after the Council of Mortgage Lenders revised its forecast for repossessions in 2009 from an estimated 75,000 to 48,000. But figures show that repossession numbers actually rose by 3% to 11,700 in the third quarter of 2009. Shelter and Citizens Advice are the two charities that are warning against complacency – they say there is still a very real need to stop repossession saying the ‘battle was far from over.’

No Time for Complacency

A number of factors have been credited for helping to stabilise the repossession risk including Government initiatives and low interest rates. But Kay Boycott, the director of policy and campaigns for homeless charity Shelter, told the press that this was not the time for “complacency or congratulations” adding that the UK was still witnessing the highest levels of repossessions in over a decade.

The CML has also predicted rising unemployment in 2010 which could mean a substantial amount of homeowners will still be fighting to stop repossession. As Ms Boycott said, “we are not out of the woods yet.” Citizens Advice said the situation was still worrying, with 50,000 households being repossessed in 2009 and more homeowners struggling to meet their mortgage payments. The CML predicted that repossessions will rise slightly in 2010; estimating 53,000 homes will be repossessed.

If you need help and advice on how to stop repossession speak to Move Quickly. Call today on 01302 722 900.