The further into the year we get the closer we are to having a recovered economy and the less the recession can affect home owners. When the recession first hit in 2009 the amount of homes being repossessed and taken from families was growing at an alarming rate, however in the last few months that rate has fallen thanks to the economy strengthening and the property marketing gaining traction.
However despite positive signs that the repossession rate is falling the Council of Mortgage Lenders (CML) still state that there is a high number (around 12,000) homes still facing repossession. As the rate increased in 2009 a lot of information was made available to homeowners who were facing repossession at the time due to missing mortgage payments and a rise in unemployment.
The rate of repossession was at its highest in 2009 and many homeowners lost their properties and still have to face other large debts. A number of property firms saw a great opportunity to help home owners who were facing repossession by buying their homes quickly so that they received cash that could pay off their debts and didn't have to worry about mortgage repayments.
Quick home sale firms offered to either buy the house for cash quickly, usually within a few days, or buy the house and then rent it back to the owner. This allowed homeowners who struggled with mounting debt to get a large amount of cash quickly to cover other payments and get rid of their debts.
While the number of home owners falling behind with mortgage payments has fallen recently thanks to interest rates being lowered, there are signs that there could be another rise in home repossession down the line depending on how the economy fairs. The economy is still very weak and while systems have been implemented to help the markets out of recession, the risk of repossession remains high for many.
However despite positive signs that the repossession rate is falling the Council of Mortgage Lenders (CML) still state that there is a high number (around 12,000) homes still facing repossession. As the rate increased in 2009 a lot of information was made available to homeowners who were facing repossession at the time due to missing mortgage payments and a rise in unemployment.
The rate of repossession was at its highest in 2009 and many homeowners lost their properties and still have to face other large debts. A number of property firms saw a great opportunity to help home owners who were facing repossession by buying their homes quickly so that they received cash that could pay off their debts and didn't have to worry about mortgage repayments.
Quick home sale firms offered to either buy the house for cash quickly, usually within a few days, or buy the house and then rent it back to the owner. This allowed homeowners who struggled with mounting debt to get a large amount of cash quickly to cover other payments and get rid of their debts.
While the number of home owners falling behind with mortgage payments has fallen recently thanks to interest rates being lowered, there are signs that there could be another rise in home repossession down the line depending on how the economy fairs. The economy is still very weak and while systems have been implemented to help the markets out of recession, the risk of repossession remains high for many.
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