CML: Arrears fall again in Q1
As a percentage 1.03% of borrowers were in arrears of more than 2.5% of the mortgage balance, down from 1.05% in the fourth quarter of 2014 and 1.24% in the same quarter last year.
There were 113,900 loans in arrears and 24,400 of more 10% of the mortgage balance, equating to 0.22% of all mortgages – both the smallest number and proportion of mortgages in the most serious arrears band since the end of 2008.
Paul Smee, CML director general, said: “Although complacency would be misplaced, the underlying picture continues to be one of improvement and a continuing reduction in mortgage arrears and repossessions.
“The message remains the same: don’t delay in contacting your lender if you are experiencing temporary payment problems, as lenders want to help you resolve them, and will only take possession of property as a last resort.”
Just 0.03% of mortgages resulted in repossession in quarter one 2015, down from 0.04% in quarter four 2014 and 0.06% in quarter one 2014.
There were 3,100 repossessions in quarter one 2015, down from 4,200 in the fourth quarter of 2014 and 6,400 in the first quarter of 2014.