The capital as the number one repossession hotspot

Although it has been announced that the UK has crossed the line in coming out of recession and there are signs of positive economic growth, many British citizens are struggling to liquidate their numerous debts.

In spite of the fact that the housing and home owner loan markets are experiencing growth, enjoying continued low interest rates offered by the Bank of England and new loan products appearing on the market regularly, a great number of consumers have fallen behind with their loan repayments and are still accumulating loan arrears and face repossession.

A recent survey by Spicerhaart Corporate sales has shown that the UK’s capital sees the highest level of new repossession cases on home owner loans than any other place in the UK. Nearly 166% more properties have been repossessed in London than in Birmingham, the second place repossession hotspot, during the first quarter of 2010.

Other cities that are suffering from repossession more than other spots are Manchester, Liverpool and Belfast.

Mark Pilling of Spicerhaart Corporate sales says that although the country is officially out of the recession, the aftermaths of the economic decline has hit many parts of the country. The number of repossession cases is growing in city centres where people have suffered from sweeping unemployment, continued inflation and dropping house prices.
 


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