More repossession orders are being made on UK homes as an economic slowdown continues to hit property investors and families.
Statistics released by the Ministry of Justice show 24 per cent more mortgage-related orders were issued in the second quarter of 2008 compared to the same period last year.
This equates to around 29,000 properties and is four per cent up on the first three months of this year.
In England and Wales, the Caernarfon region of Wales posted the biggest increase, with mortgage possession orders up 137 per cent since the second quarter of 2007.
Last week the Council of Mortgage Lenders (CML) published figures on the number of orders actually carried out, showing the proportion of all mortgages on which possession occurred the first half of 2008 was 0.16 per cent, up from 0.11 in 2007.
The CML said:
“This is not surprising, given the greater inherent propensity for default in the adverse credit sector due to borrowers’ past credit experience.”
The group added the “overwhelming majority” of borrowers continue to pay in full each month “and will continue to do so”.
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