RichM Posted February 1, 2011 Share Posted February 1, 2011 (edited) UK faces jump in home repossessions if economy slows, says Standard & Poor's http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/8293817/UK-faces-jump-in-home-repossessions-if-economy-slows-says-Standard-and-Poors.html Britain is facing "a considerable increase in repossessions" if the economy slows, according to ratings agency Standard & Poor's, as almost one-in-five problem mortgages are "severe" cases that show little sign of improvement. Later on in the article: "As a result, the stock of severe arrears cases has steadily increased, and as of the third quarter of 2010 represented almost 20pc of the mortgage balances of the UK non-conforming transactions that we rate – twice the reported level of two years prior," the report said. Terrifying. There's not going be to be an easy climb out of this recession. They'll have to scrape away two feet of concrete before we see any green shoots. Edited February 1, 2011 by RichM Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted February 1, 2011 Share Posted February 1, 2011 Extend and pretend. We just need to extend the dodgy accountancy rules to households and it will all be fixed. Quote Link to comment Share on other sites More sharing options...
Pent Up Posted February 1, 2011 Share Posted February 1, 2011 Sounds like all it will take is one lender to decide to crack down and reclaim their assets now before prices get any lower and we could see a flood of repos. Add rising umemoyment and even (maybe) a rate rise on top and it'll be one hell of a crash. We can but hope. Quote Link to comment Share on other sites More sharing options...
Realistbear Posted February 1, 2011 Share Posted February 1, 2011 Judgment day is coming. Quote Link to comment Share on other sites More sharing options...
RichM Posted February 1, 2011 Author Share Posted February 1, 2011 0.5% was a gift, maybe not a get out of jail free card but it must have allowed a lot more people to sort themselves out - instead, the severe arrears rate DOUBLED. All the time I have spent on this site and I still find myself scarcely believing that it is as bad as the raw data (i.e. debt statistics, balance of the economy) suggests. Quote Link to comment Share on other sites More sharing options...
winkie Posted February 1, 2011 Share Posted February 1, 2011 (edited) 0.5% was a gift, maybe not a get out of jail free card but it must have allowed a lot more people to sort themselves out - instead, the severe arrears rate DOUBLED. All the time I have spent on this site and I still find myself scarcely believing that it is as bad as the raw data (i.e. debt statistics, balance of the economy) suggests. ...how better things could have been if the credit expansion had been nipped at the bud, interest rates could now have been higher, house prices lower and both savers and borrowers could live without worry......but the greed of the few spoilt it for the many. Edited February 1, 2011 by winkie Quote Link to comment Share on other sites More sharing options...
okaycuckoo Posted February 1, 2011 Share Posted February 1, 2011 0.5% was a gift, maybe not a get out of jail free card but it must have allowed a lot more people to sort themselves out - instead, the severe arrears rate DOUBLED. All the time I have spent on this site and I still find myself scarcely believing that it is as bad as the raw data (i.e. debt statistics, balance of the economy) suggests. Yes, fair reflection. This gift keeps on giving, and If people can't even stabilise their finances, let alone improve them, the finances are doomed. Quote Link to comment Share on other sites More sharing options...
@contradevian Posted February 1, 2011 Share Posted February 1, 2011 What there is a tendency to do in this extreme or hopeless cases, is not to use any cash to pay down arrears but to set some aside for emergencies such as evictions, so can at least move and get a rented flat or house. Quote Link to comment Share on other sites More sharing options...
Si1 Posted February 1, 2011 Share Posted February 1, 2011 0.5% was a gift, maybe not a get out of jail free card but it must have allowed a lot more people to sort themselves out - instead, the severe arrears rate DOUBLED. and just to think that over the coming 10-20 years we can expect IRs to end up being - gradually - higher there will be no respite in the medium-long term, a mortgage looks more and more like a ball and chain - I have seen this attitude to housing debt change recently, people envy me now for being a renter and in the black with liquid funds to invest elsewhere, pity the mortgage-owners Quote Link to comment Share on other sites More sharing options...
rantnrave Posted February 1, 2011 Share Posted February 1, 2011 Terrifying. There's not going be to be an easy climb out of this recession. They'll have to scrape away two feet of concrete before we see any green shoots. And that two feet of concrete will most definitely not be the foundations of a new build... Quote Link to comment Share on other sites More sharing options...
exiges Posted February 1, 2011 Share Posted February 1, 2011 UK faces jump in home repossessions if economy slows No sh1t sherlock. In other news, ursines defecate in wooded areas. Quote Link to comment Share on other sites More sharing options...
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