Home repossession claims soar

6:30pm Wednesday 14th May 2008

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THE number of homeowners facing repossession orders has rocketed 26 per cent over the last year in south Bucks, figures show.

There were 107 mortgage possession claims issues in High Wycombe county court from January to April, Ministry of Justice figures show.

The figure is 26 per cent higher than the same period in 2007.

This is higher than the rise for England and Wales, 17 per cent, and comes amid warnings that the global credit crunch is having a major impact.

The number of landlord possession claims rose 11 per cent to 88 at the court.

The claim is the first stage in the repossession process by mortgage lenders and can result in homeowners reaching an agreement with lenders.

Michael Coogan, director general of the Council for Mortgage Lenders, said: "No-one wants to see repossessions rise.

"But risk is a part of life, and for some households circumstances change and they cannot get back on their feet.

"However, most people who suffer payment difficulties can get out of trouble by taking good advice, prioritising their debts, and communicating with their lender early."

Housing minister Caroline Flint said: "We know that some borrowers are concerned about their mortgages in the current market conditions.

"Some lenders are now passing on interest rate cuts and we want to see the rest follow as soon as possible.

"But for the minority of owners who may need support and advice now, we want to ensure it is there for them in the right place and at the right time."