HML predicts repossession rate of 0.20% this year

Published on

HML has forecast that there will be 20,606 residential property repossessions in 2015.

The forecast comes as the Council of Mortgage Lenders (CML) announced its latest repossession figures. HML manages the UK’s largest pool of commercially-available mortgage data, comprising around one million accounts. It produces its forecast based on previous account performance and factors up to the CML’s national figures.

According to HML, Greater London will experience the highest number of repossessions in 2015 at 2,641. In second place is the South East, with 2,605 repossessions forecast. The region expected to see the fewest number of repossessions this year is the East Midlands at 1,027.

In terms of repossession rate (which reflects the proportion of properties in the region), Northern Ireland is forecast to have the highest at 0.49%. Wales is in second place at 0.26% and Greater London is in third place at 0.25%.

HML’s 2015 Regional Repossession Forecast: 

Region Repossession Rate Forecast UK Forecast
East of England 0.17% 1,742
East Midlands 0.13% 1,027
Greater London 0.25% 2,641
North 0.23% 1,045
North West 0.17% 2,153
Northern Ireland 0.49% 1,571
Scotland 0.16% 1,729
South East 0.17% 2,605
South West 0.14% 1,222
Wales 0.26% 1,354
West Midlands 0.23% 2,082
Yorkshire & Humber 0.16% 1,435
Total 0.20% 20,606

Damian Riley, director of business intelligence at HML, said: “After what has been a difficult few years for many households in the UK, it looks as though the clouds are parting and there is calm after the storm.

“HML expects repossessions to stand at 20,606 in 2015, representing a repossession rate of 0.20%. A combination of lower unemployment, declining inflation and an increase in economic sentiment will no doubt have contributed to our expected decline in repossessions.

“On the other hand, lenders are working hard to help customers stay in their home when experiencing financial difficulties. A combination of increased forbearance, improving macro-economics and Britons having a better handle of their personal finances is likely to have contributed to this expected decline in repossessions.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

London’s luxury lettings market surges 154% as wealthy tenants opt to rent

London’s prime lettings market has more than doubled in size during the first half...

3.3 million households locked out of home ownership

More than three million households have been priced out of home ownership since the...

Carlyle to acquire intelliflo from Invesco in $200m deal

Global investment group Carlyle has agreed to acquire intelliflo, the London-based provider of cloud-based...

LMS becomes affiliate member of the Conveyancing Association

The Conveyancing Association has welcomed LMS as its newest affiliate member, marking a formal...

Molo cuts UK resident buy-to-let rates

Molo has reduced its standard buy-to-let fixed rates for UK resident landlords. The changes mean...

Latest publication

Latest opinions

Bridging the Pond: How large is the US bridging finance market, and compared to the UK?

When we first got started with LendInvest in the UK, post the financial crisis,...

Passing the affordability exam

As teachers and students of various ages have spent August nervously opening exam results...

Investors are changing their approach – and lenders should too

The buy-to-let market never stands still, but the pace of change in recent years...

Leasehold fees, specialists and the need to shop around

Leasehold properties account for around 20% of all dwellings in the UK, and while...

Other news

London’s luxury lettings market surges 154% as wealthy tenants opt to rent

London’s prime lettings market has more than doubled in size during the first half...

3.3 million households locked out of home ownership

More than three million households have been priced out of home ownership since the...

Carlyle to acquire intelliflo from Invesco in $200m deal

Global investment group Carlyle has agreed to acquire intelliflo, the London-based provider of cloud-based...