The Council of Mortgage Lenders (CML) will today release quarterly figures expected to reveal that the number of repossessions is decreasing.
Repossessions in the first half of this year were at their lowest for six years at 15,700.
A combination of super-low Base Rate and government schemes such as Funding for Lending and Help to Buy has kept the cost of borrowing down, helping borrowers afford their monthly mortgage repayments.
The UK’s largest mortgage lender Halifax calculated in August that the average borrower’s mortgage payment accounted for 27% of their monthly outgoings – the most affordable level for 14 years.
Bank of England figures revealed that the typical interest rate taken out by borrowers on new mortgages in Q2 fell to a new low of 3.47%.
In Q2 this year 7,700 properties were repossessed by mortgage lenders, a 4% drop on Q1.
The CML predicted that the total number of repossessions this year would come in at 35,000, a similar figure to 2012.
However, if the pattern set in the first half of this year continues, the annual total number of properties repossessed in 2013 should be closer to 31,000.
