FSA uncovers 70% rise in repossessions

A snapshot of the mortgage market in Q2 2008 also found new mortgage lending is down by a quarter, while impaired credit loans have fallen by a third. The total value of outstanding UK mortgages reached £1.17trn in the second quarter of 2008 and, despite climbing 7.5% over the past year, has seen growth slow to just 1% on a quarterly basis. Possessions and arrears have risen rapidly as housing values falls, unemployment increases and the cost of mortgage finance has risen. The FSA notes the number of new arrears cases has remained fairly constant, with around 54,000 customers slipping in...