Tuesday, Dec 29, 2009

Legislation to stop one btl repo - legal aid only for homeowners

AP: Repossession loophole to be closed

The problem came to light last year after a buy-to-let lender repossessed a property after the borrower got into arrears.
The Government also said more than 33,000 people had been helped during the year to the end of September by a scheme under which homeowners facing repossession hearings at courts are given free advice.

Posted by matt_the_hat @ 07:26 AM (752 views) Add Comment

6 Comments

1. mark wadsworth said...

Another triumph for Home-Owner-Ism!

I do wonder sometimes why anybody bothers actually paying their mortgage, or why banks would actually lend to anybody, knowing it'll be difficult to get their money back.

Tuesday, December 29, 2009 09:29AM Report Comment
 

2. confused76 said...

This is good news. Anything that increases the cost of lending, including cost of distress, will depress house prices further

Tuesday, December 29, 2009 09:38AM Report Comment
 

3. confused76 said...

As reported by the Times

http://business.timesonline.co.uk/tol/business/law/article6969876.ece

this is truly the end of easy lending. now with the easy repossessions ruled out and under the control of the more and more political Courts, forget about banks lending to home owners based on asset values. Back to the old stable salary multiples!!
WOW!!

Tuesday, December 29, 2009 09:46AM Report Comment
 

4. hpwatcher said...

Some good points, above. Banks need to be ABSOLUTELY sure that people are going to be able to pay the money back, before they lend.....unless of course, the government is holding a gun to their head to force them into lending more.

Tuesday, December 29, 2009 09:54AM Report Comment
 

5. fallingbuzzard said...

Typical press. Focus on some minute issue and miss the big one, the rise of charging orders, which conveniently creates the illusion that consumers are reducing their unsecured lending rather than it being done for them.

Tuesday, December 29, 2009 11:43AM Report Comment
 

6. Tom101 said...

Banks don't need to reposess to own the occupants.

Tuesday, December 29, 2009 11:56AM Report Comment
 

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