Musings of a London Property Finder
Sophie Ridge writing in The News of The World on Sunday reported that Northern Rock aims to fast-track repossessions, sending in the bailiffs to 7,500 homes by Christmas. The bank will take a particularly hard line with customers who are not expected to be able to get themselves back into the black.
The combination of 125pts mortgages, illness, no mortgage payment or income protection insurance and the end of low fixed rates means more and more people are falling behind with payments.
The NOTW quotes that 18,900 families lost homes in the first six months of the year and that the Council of Mortgage Lenders prediction remains 45,000. Some of those affected will be Buy To Let investors losing an investment rather than a family home.
It would seem to us better for repossession to raise it’s ugly head sooner rather than later, however painful it may be, because people tend to run up even more debt borrowing on credit cards with very high interest rates to make mortgage payments which exacerbates their liability in the long run if they aren’t able to turn things around. This London Property Finder advises again make sure your mortgage is protected by appropriate insurance.