41% increase in repossesions

[SplatSpeed]

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

[biglepton]

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

Do you not think increased mortgage costs are part of the economy?

[mondeoman]

biglepton said:

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

Do you not think increased mortgage costs are part of the economy?

ermm mortgage costs have come down .....

Historical average mortgage rates til the late nineties were IIRC c8% - we're now paying 5-6%. Anyone who thought that 3% rates were here to stay should've done their homework....

[SplatSpeed]

biglepton said:

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

Do you not think increased mortgage costs are part of the economy?

you are allister darling AICMFP

[SS HSV]

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

This comes as no suprise to me.

What I did find amusing was the presenter.. how much coke has he done to be that 'in your face'?

Animated is an understatement

Edited by SS HSV on Friday 8th August 12:52

[Jetl3on]

I hate to sound like a vulture and take advantage of another persons misery, but what happens to all these reposessed properties, where do they end up, are there bargains to be had, do banks sell them off cheap to get their money back?

[JonRB]

41% sounds dire and headline grabbing, doesn't it?

Until you read the article:

article said:

The CML is maintaining its forecast of 45,000 total possessions and 170,000 mortgages in arrears of more than three months by the end of the year.

These numbers remain extremely small when seen in the context of the 11.74 million mortgages in the UK

The CML pointed out that 0.16% of all mortgages had been taken back by lenders in the first half of the year, up from 0.11% throughout the while of 2007.

What a non-story.

Edited by JonRB on Friday 8th August 12:59

[BoRED S2upid]

Just heard an interview with some woman who had a letter from the courts informing her of the impending reposession, she sounded shocked!. She must have missed a whole heap of Mortgage payments, they don't repossess your home if you just miss one or two and the bank would be writing to you every month before the courts got involved. What did she think would happen for missing repayments?.

[Timmy35]

mondeoman said:

biglepton said:

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

Do you not think increased mortgage costs are part of the economy?

ermm mortgage costs have come down .....

Historical average mortgage rates til the late nineties were IIRC c8% - we're now paying 5-6%. Anyone who thought that 3% rates were here to stay should've done their homework....

From a practical perspective the % interest rate is pretty irrelvant.....what matters is the % of average income required to service the average mortgage, which has NEVER been so high.

[SplatSpeed]

Jetl3on said:

I hate to sound like a vulture and take advantage of another persons misery, but what happens to all these reposessed properties, where do they end up, are there bargains to be had, do banks sell them off cheap to get their money back?

they go on the market the bank sells them for just enough to cover it loss so the home owner loses out

if they cant cover it's loss it stays on the market before going to auction

ask estate agents for repossessions and they will need work but cheap my brother has one

[randlemarcus]

anonymous said:

[redacted]

Last time round, that was true until it started becoming big news, then the figure went down to around 50% as people were more willing to give up earlier, and melt out of the picture. It became quite common to go round and find they'd skipped a lot earlier. I'd expect to see the same sort of thing this time round as well, but I dont do that any more.

[Vesuvius 996]

anonymous said:

[redacted]

Was discussing this with some tw@t in the pub last night.

"Oh well I bought using 100% mortgage. New build. It's in £60k negtive equity now but I ain't bothered. I'mm going to stop paying this month and then hand the keys back after Christmas, then it's the fookin bank's problem ha ha ha. They can't touch me other house."

"Erm, no...."

Edited by Vesuvius 996 on Friday 8th August 13:27

[V8mate]

SplatSpeed said:

this is blamed on the economy

i beleive it is due to increased mortgage costs of good deals comming to an end

http://news.bbc.co.uk/1/hi/business/7548877.stm

That's it; blame other people. Maybe it's down to people borrowing more than they can afford without considering what might happen if the economic climate changes. Even just a little bit.

[sleep envy]

Vesuvius 996 said:

"Erm, no...."

so what's the deal with a re-po

it goes to auction, fails to meet the required amount to cover the loan, I assume the bank releases the dogs?

[Vesuvius 996]

sleep envy said:

Vesuvius 996 said:

"Erm, no...."

so what's the deal with a re-po

it goes to auction, fails to meet the required amount to cover the loan, I assume the bank releases the dogs?

Yes, we come after you for the shortfall, plus interest and costs. It's all in the mortgage documents.

Edited by Vesuvius 996 on Friday 8th August 13:30

[V8mate]

Vesuvius 996 said:

sleep envy said:

Vesuvius 996 said:

"Erm, no...."

so what's the deal with a re-po

it goes to auction, fails to meet the required amount to cover the loan, I assume the bank releases the dogs?

Yes, we come after you for the shortfall, plus interest and costs. It's all in the mortgage documents.

Edited by Vesuvius 996 on Friday 8th August 13:30

Now, or at any time in the next 12 years!

[Apache]

Jetl3on said:

I hate to sound like a vulture and take advantage of another persons misery, but what happens to all these reposessed properties, where do they end up, are there bargains to be had, do banks sell them off cheap to get their money back?

They don't all go to auction, a lot of banks want to keep hold of them as an asset, they will be worth more long term than binning em now.

There's also new ventures (funded by the banks?) that offer to buy the property then rent it back to these people, don't know how it works in reality but I've heard a few horror stories

[richardxjr]

Vesuvius 996 said:

sleep envy said:

Vesuvius 996 said:

"Erm, no...."

so what's the deal with a re-po

it goes to auction, fails to meet the required amount to cover the loan, I assume the bank releases the dogs?

Yes, we come after you for the shortfall, plus interest and costs. It's all in the mortgage documents.

Edited by Vesuvius 996 on Friday 8th August 13:30

No other assets = bankruptcy then? People not scared at this prospect any more.

I think the whole spectre of mass repo's, particularly possible for a lot (I guess) of the remaining Northern Rock book, is the main reason why GB is desperate to find a way of artificially propping up house prices. Nothing to do with helping people in difficuly, purely to assist in face-saving over his decision to step in and rescue NR with our money.

How much could NR repos cost us if when his plans to mess with the market fail?

[Vesuvius 996]

richardxjr said:

No other assets = bankruptcy then? People not scared at this prospect any more.

Well, they should be. Very.

You go from a house in a safe area, with your kids in a cushy school, to a council flat in a rough block, with your kids getting bullied and knifed in an inner city borstal, living on benefits because your employment contract allows your boss to fire you if you go bankrupt. Go on, go and read it.

Not worried? Idiots.

Edited by Vesuvius 996 on Friday 8th August 13:52

[richardxjr]

Vesuvius 996 said:

richardxjr said:

No other assets = bankruptcy then? People not scared at this prospect any more.

Well, they should be. Very.

You go from a house in a safe area, with your kids in a cushy school, to a council flat in a rough block, with your kids getting bullied and knifed in an inner city borstal, living on benefits because your employment contract allows your boss to fire you if you go bankrupt. Go on, go and read it.

Not worried? Idiots.

Edited by Vesuvius 996 on Friday 8th August 13:52

Not round here, or any provincial town, I would say.
I've seen people (families with kids that is) throw in the towel and get handed a rather nice private rented house paid for by you know who.

Soon they will all be housed in brand new Wimpey-etc estates, sold off cheap to the HA's.

Better add the cost of that times several hundred thousand onto our bill.