MORTGAGE ARREARS & BANKS GET TOUGHER | INCREASE IN REPOSSESSIONS IN 2015
LIFETIME COMMUNITY RATING
Are you one of the hundreds of thousands of home owners in mortgage arrears? If you are in serious arrears, you may have an increased chance of being served a eviction order during the next 12 months.
A recent report in the Irish Times newspaper has indicated that increases in house values over the last year
may be one of the reasons that the banks have decided
to go to court more often to try and repossess houses
currently occupied by home owners in serious arrears.
In 2014, 8,164 civil bills seeking repossession were lodged
with the courts, with 1,063 of these being granted.
So will we see an increase in repossessions if house prices continue to rise and the banks increasingly view them as valuable, saleable assets?
A spokesperson for the Irish Mortgage Holders Associations has been quoted as saying that "I estimate that we will see 25,00 homes repossesssed this year (2015). This is not just a debt crises. This is the next wave of the housing crisis".
In response to this alarming prospect, the Government has said that figures published by the Irish Times on home repossessions were a reflection of banks using the courts more as a method to force home-owners to "engage" with them, rather than reflecting a potentially large number of repossessions.
However, if you look at the table below and compare the number of civil bills submitted compared to the still relatively low number of court orders granted, this Government reply does seem to beg the question that the banks will chance spending/wasting money on court orders, simply as a sort of "reverse" PR exercise to exert maximum pressure on some home owners.
COURT ORDER SEEKING REPOSSESSIONS DURING 2014
County Civil Bills Lodged Granted Repossesssion Orders Carlow 116 20 Cavan 250 34 Clare 197 28 Cork 627 84 Donegal 386 13 Dublin 1673 253 Galway 421 9 Kerry 175 33 Kildare 453 48 Kilkenny 123 13 Laois 226 26 Leitrim 75 21 Limerick 328 50 Louth 290 41 Longford 100 23 Mayo 206 37 Meath 607 43 Monaghan 142 17 Offaly 173 40 Roscommon 198 22 Sligo 121 6 Tipperary 341 49 Waterford 209 50 Westmeath 226 13 Wexford 331 38 Wicklow 288 33 Totals: 8164 1063
This summary is based on material in a recent Irish Times newspaper article and on the RTE website.