The figures reveal there were 11,400 cases of possession in the second quarter of 2009, 10% fewer than the 12,700 in the first quarter of the year but 14% more than the 10,000 cases of possession in the second quarter of last year.
The data also shows only a modest deterioration in arrears during the second quarter. As at mid-year, the number of loans in arrears by 2.5% or more of the outstanding mortgage balance totalled 205,600. That compares with a total of 203,900 at the end of the first quarter, and 139,700 at the end of the second quarter of 2008.
The body noted that a combination of factors helped keep mortgage arrears and possessions in check, despite the recession. The CML said lenders were now showing forbearance to borrowers where customers were trying to resolve payment problems and had a realistic chance of doing so.
Low interest rates have helped ensure that arrears grow less quickly; giving borrowers a better chance of getting back on track and lenders more scope to extend forbearance. The CML said Government schemes were providing some help for borrowers in difficulty by promoting early communication between borrowers, lenders and debt advisers.
Jackie Bennett, head of policy at the CML, said the data showed that lenders were committed to helping borrowers manage their way through payment problems and get their mortgage back on track over time.
“Clearly, low interest rates are also helping borrowers who are committed to working to resolve their arrears, paying what they can – and when they can – towards their mortgage, and maintaining good communication with their lender.”
She added: “Lenders can only show forbearance if borrowers show a continuing determination to address their problems and discuss them with the lender at the earliest opportunity.”
