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| Rise in homes repossessed by lenders | Rise in homes repossessed by lenders |
| (35 minutes later) | |
| The number of UK homes repossessed in the first three months of the year rose slightly compared with the previous quarter, lenders have said. | The number of UK homes repossessed in the first three months of the year rose slightly compared with the previous quarter, lenders have said. |
| There were 8,000 properties repossessed in January to March, up 300 on the last three months of 2012. | There were 8,000 properties repossessed in January to March, up 300 on the last three months of 2012. |
| But the Council of Mortgage Lenders (CML) said that this rise matched usual seasonal factors. | But the Council of Mortgage Lenders (CML) said that this rise matched usual seasonal factors. |
| The number of homes being seized by lenders has been falling in recent years as interest rates stay low. | The number of homes being seized by lenders has been falling in recent years as interest rates stay low. |
| Arrears 'stabilising' | |
| Homes are repossessed if householders fall well behind on mortgage payments and lenders see no prospect of the bill being paid. | |
| The number of people falling behind on payments was unchanged compared with the first and last quarters of 2012. | |
| However, there were 1,600 fewer homes seized by lenders in the first three months of the year than the same quarter of last year, the CML said. | |
| "Mortgage arrears and repossessions have stabilised at levels lower than many anticipated when the economic downturn started," said Paul Smee, of the CML. | |
| "Low interest rates, continuing employment, lender forbearance and tactical public policy support have combined to ensure that repossession really is a last resort." | |
| The CML said it was sticking with its forecast that 35,000 homes would be repossessed in 2013, a slight increase on the 33,900 repossessed last year. | |
| Lenders and debt charities have urged anyone who faces difficulties in making mortgage payments to seek help early. | |
| "Anyone who is worried about their mortgage can be assured that, as long as they take steps early to address them, most problems can be contained," Mr Smee said. | |
| "Lenders very much want to enable people to stay in their homes wherever they have sustainable prospects of getting their mortgage back on track." |