The Council of Mortgage Lenders has released figures that say the rate of repossession has fallen in the second quarter of 2015 and is at an astonishing 0.02%, which is the equivalent of just one in every 5,000 mortgages. This is the lowest rate recorded since 2008 when records began.
2,500 properties were taken into possession in the second quarter, down from 3,000 the previous quarter and 5,400 in the second quarter of last year. Out of the 2,500 in the past quarter, some 1,800 were in the owner-occupier market and 700 in the buy-to-let market.
The total number of mortgages with arrears equivalent to 2.5 % or more of the mortgage balance, was 106,400. This equates to 0.96 % of all mortgages which is again the lowest rate since quarterly records began.
Brian Murphy, head of lending at Mortgage Advice Bureau says “The record low base rate has played a big party in helping households keep their loan commitments in check. The prospect of a higher base rate is clearly the biggest single factor that threatens this progress, but rate rises will be slow and steady”.