Here's tonights property doom article. Basically it counters the argument that repo numbers will be muted this time as the govt insists. Not so argues charity Shelter, who say Joe Publics borrowing binge and spending splurge will result in 0000's of repos, just like the early '90's.
House repossession rates this year could hit levels not seen since the last property crash in the early Nineties, because an increasing number of people have taken out secondary loans on their homes, says the homelessness charity Shelter. Its report is in stark contrast to government assurances that there will be no repeat of the last housing crisis when hundreds of thousands of people lost their homes as prices crashed.
Shelter maintains the number of repossessions will be far higher than the government and mortgage lenders predict because this time around many homeowners have taken out loans secured against their property as they cash in on inflated house prices. Often the loans have been used for holidays, home improvements or to pay off credit cards.
http://www.guardian.co.uk/money/2008...rices.property
House repossession rates this year could hit levels not seen since the last property crash in the early Nineties, because an increasing number of people have taken out secondary loans on their homes, says the homelessness charity Shelter. Its report is in stark contrast to government assurances that there will be no repeat of the last housing crisis when hundreds of thousands of people lost their homes as prices crashed.
Shelter maintains the number of repossessions will be far higher than the government and mortgage lenders predict because this time around many homeowners have taken out loans secured against their property as they cash in on inflated house prices. Often the loans have been used for holidays, home improvements or to pay off credit cards.
http://www.guardian.co.uk/money/2008...rices.property
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