CHL Mortgages has reported further improvement in its buy-to-let mortgage book arrears levels, especially compared to the industry average.

Earlier this month the Council of Mortgage Lenders (CML) revealed its quarter three arrears and possession figures. The number of buy-to-let mortgages more than three months in arrears declined from 28,300 (1.57% of the total) to 26,300 (1.45%). Adding in the numbers of arrears that flow from both receivers (0.47%) and all repossessions (0.22%), gives the overall industry average as 2.14%

In comparison, CHL’s figures for quarter three show three-month arrear levels at 0.46%, receivers at 0.97% and all repossessions at 0.28%, giving an overall figure of 1.71%.

This is a 43bps differential between CHL and the CML industry average figures. While there has been a slight narrowing between the CHL and the CML – down from 53bps – CHL argues this still shows the “ongoing strength”” of its in-house collections strategy and processes