Home repossessions rising, but fewer people falling behind with mortgages

More homeowners are having their property repossessed, but the number of people falling behind with their mortgage payments is falling.

According to UK Finance, 1,030 homeowner mortgaged properties were taken into possession between October and December last year.

While that’s 12% up on July to September, UK Finance has said it’s “significantly less” than the long-term average.

Meanwhile, the number of homeowner mortgages in arrears fell by 2% in the final quarter of 2024, when compared with the previous three months.

“Arrears appear to now be on a confirmed downward trend,” said Charles Roe, director of mortgages at UK Finance.

“This reflects the fact that, while pressures remain, the challenges of higher interest rates and cost of living increases have begun to ease.”

Lenders will support struggling households

Mr Roe described the latest figures as “good news for customers”.

However, he acknowledged that this won’t be the case across all households and urged anyone who’s struggling to get in touch with their lender.

“Lenders offer a range of support to anyone worried about their finances,” Mr Roe commented.

“If you’re worried about your finances, please reach out to your lender as soon as possible to discuss the help available.”

Missed a mortgage payment?

If you’re struggling to make your mortgage payments or you’ve already missed a payment, you should get in touch with your mortgage lender without delay. 

They have a responsibility to help homeowners who are in financial difficulty, and speaking to your lender if you’re struggling won’t affect your credit score.

Find out more in our guide on what to do if you fall behind with your mortgage payments.