http://www.finfacts.ie/irishfinancenews/article_1027769.shtml
(...) David Hall, CEO of IMHO (Irish Mortgage Holders Organisation) commented: “In recent weeks there have been heightened concerns in relation to homelessness. The number of people potentially facing homelessness through inaction in tackling arrears could now be 35,314. This does not include children or partners of the people with the mortgage. The real figure could potentially be up to 90,000. In addition 53% of loans issued by non-bank lenders, for example county councils are in arrears. This is a further silent time bomb as many of these homeowners may find themselves reliant on a social housing system that is at breaking point.“
In addition, today’s figures confirm the view of the IMHO that banks are attempting to control the property market by not dealing with Buy-to-Let (BTL) arrears. The total number of BTL mortgages in arrears rose by 0.3% quarter on quarter and those in arrears for 720 days or longer are up 8.7%.
Dr Constantin Gurdgiev, director, IMHO added: "Across both PDH and BTL mortgages, recent push by the banks to restructure mortgages in arrears is yielding some limited success. In Q1 of 2014 the total number of mortgages in arrears in Ireland fell by 2.4%. However, number of all mortgages in arrears over 720 days is up 6% or 2,793. The balance of arrears is up from €3,591m in Q4 2013 to €3,967m in Q1 2014. These numbers suggest an increase in debt burden in the near future for households already showing severe strain in repaying the mortgages.”
The IMHO said it has major concerns in relation to some of the “forbearance arrangements” being used. 24.5% of those in arrears have had their arrears capitalised, there is no evidence of the cause of the arrears being addressed which might explain the significant number of these cases which fail to be able to meet the payments amount which is 35% an 67% in buy to lets.
The report states “of the total stock of restructured accounts at end march 2014, 58% were not in arrears” this means an alarming number of cases, some 42% already restructured are still in arrears.
"It is very concerning that short term interest is being used only as a restructure for those in arrears of 90 days and above without any evidence of sustainability." (...)
(...) David Hall, CEO of IMHO (Irish Mortgage Holders Organisation) commented: “In recent weeks there have been heightened concerns in relation to homelessness. The number of people potentially facing homelessness through inaction in tackling arrears could now be 35,314. This does not include children or partners of the people with the mortgage. The real figure could potentially be up to 90,000. In addition 53% of loans issued by non-bank lenders, for example county councils are in arrears. This is a further silent time bomb as many of these homeowners may find themselves reliant on a social housing system that is at breaking point.“
In addition, today’s figures confirm the view of the IMHO that banks are attempting to control the property market by not dealing with Buy-to-Let (BTL) arrears. The total number of BTL mortgages in arrears rose by 0.3% quarter on quarter and those in arrears for 720 days or longer are up 8.7%.
Dr Constantin Gurdgiev, director, IMHO added: "Across both PDH and BTL mortgages, recent push by the banks to restructure mortgages in arrears is yielding some limited success. In Q1 of 2014 the total number of mortgages in arrears in Ireland fell by 2.4%. However, number of all mortgages in arrears over 720 days is up 6% or 2,793. The balance of arrears is up from €3,591m in Q4 2013 to €3,967m in Q1 2014. These numbers suggest an increase in debt burden in the near future for households already showing severe strain in repaying the mortgages.”
The IMHO said it has major concerns in relation to some of the “forbearance arrangements” being used. 24.5% of those in arrears have had their arrears capitalised, there is no evidence of the cause of the arrears being addressed which might explain the significant number of these cases which fail to be able to meet the payments amount which is 35% an 67% in buy to lets.
The report states “of the total stock of restructured accounts at end march 2014, 58% were not in arrears” this means an alarming number of cases, some 42% already restructured are still in arrears.
"It is very concerning that short term interest is being used only as a restructure for those in arrears of 90 days and above without any evidence of sustainability." (...)