House repossessions 'set to soar'

m5ex9oqjawdg2i · 06-02-2011 03:22PM

Thoughts?

It's absolute bull****...

These scaremongering fcuktards translate the following "20000 people will find it even more difficult to pay their mortgage each month"

To:

"20000 people are going to be homeless"

Making it a definite assumption, which is a load of bollix...

It's what the media do best, talk shíte.

I can guarantee you now that this will not happen.

mickydoomsux · 06-02-2011 03:28PM

danbohan wrote: »

so your telling me that somebody taking out their mortgage in 2004 would have thought that interest rates would remain at 2% -4% for next 20 to 30 years , and that their income could only go up ?

i thought this was supposed to be our brightest and best educated generation ? appears to be the opposite

A lot of people of this generation seemed to think that paying €250,000+ for a ****box, thrown-together house in a field somewhere in the Westmeath commuter hell was a great idea.

Surely their job with a huge migratory multinational would still be there in 10 years time in a country with unprecendented spiralling inflation and an ever increasing cost of doing business!

cursai · 06-02-2011 03:36PM

I still don't understand the mentality of people.
Paying out huge sums for a box with heating and windows!
They knew there was a risk!
.....
now they complain when that risk becomes a reality!!!!!:mad:

Just sell the house for what you can get and pay the rest off over the next few yrs. The pride and arrogance in all of it is shameful!!!!!!!
Now the rest of us who were sensible have to watch the whole country thing to fall apart!!!!!!

Coriolanus · 06-02-2011 03:37PM

You'll have to excuse my ignorance but what happens if it's a family home?

Do the people just get turfed out or can it only happen when and if there's a council home available?

danbohan · 06-02-2011 03:43PM

Nevore wrote: »

You'll have to excuse my ignorance but what happens if it's a family home?

Do the people just get turfed out or can it only happen when and if there's a council home available?

http://www.youtube.com/watch?v=-0y-SWdbGRk&feature=related

situation in USA

whos to say it could not happen here , remember as morgan kelly said we are relying on the'' kindness of strangers''

06-02-2011 03:43PM

Mike 1972 wrote: »

Oh and whats this big gawdamn hangup about family homes ? Dont single people (and childless/childfree couples) need somewhere to live too.

Family as in they bought it for their own accommodation, same would be true of singles and couples. Just shorter to just type family, as opposed to "homes purchased for occupation by the purchasers".

Repossessed usually means dispossed from the house.

Mike 1972 · 06-02-2011 04:03PM

Deleted User wrote: »

Repossessed usually means dispossed from the house.

But doesnt exclude one from renting someplace else.

We need to stop thinking of repossession and homelessness being one and the same thing. It is plainly not the case.

mikom · 06-02-2011 04:05PM

MrMatisse wrote: »

Very sad. You can see the anger beginning to appear.

Very sad. You can see the shill beginning to appear.

Liam_Flag · 07-02-2011 11:17AM

Can't wait to check out some knock down prices for houses.

D Mc W reckoned that a rule of thumb should be the annual rental income from a house x 12-15 times to get a true value of a property.

House repossessions 'set to soar'

A leading housing charity fears repossessions will soar this year unless urgent Government action is taken.

Respond! Housing Association has demanded urgent changes to a mortgage welfare scheme as almost 100,000 desperate homeowners struggle to meet repayments.

Aoife Walsh, spokeswoman, said it was critical amendments be made to the Mortgage Interest Supplement (MIS) scheme, which gives short term support with interest repayments.

“The number of families struggling on a monthly basis is only set to increase during 2011 as incomes continue to fall and interest rates increase,” she said.

“The only state assistance for these homeowners is mortgage interest supplement but only 18,000 are accessing it currently, a fraction of the real number in difficulty.”

Ireland’s largest mortgage provider, permanent tsb, and Ulster Bank both announced hikes in interest rates on standard variable rate mortgages on Friday. They will hit homeowners next month.

Respond! said nearly 100,000 homeowners are already struggling with mortgage repayments, with more than 40,000 in arrears of 90 days or more.

Ms Walsh said the real concern is the 28,000 homeowners who have been unable to repay their mortgage for more than 180 days.

Respond! believes the main reason for low numbers benefited from MIS was its strict qualifying criteria.

It maintained a review of the scheme seven months ago made several recommendations that have not been implemented.

“In the meantime, the number in arrears has increased and the number of homes being repossessed continues to rise,” said Ms Walsh.

“A lot of lip service was paid to the plight of homeowners in 2010 but very little action.

“Unless more is done to assist people, we could witness large scale repossessions in 2011 and 2012.”

http://www.breakingnews.ie/ireland/house-repossessions-set-to-soar-492464.html#ixzz1DGbZF1VX

fulhamfanincork · 07-02-2011 11:19AM

Is being a Repo man the stingiest job out there?

*and its such a mans job. never see a woman being a repowoman.

Sanjuro · 07-02-2011 11:22AM

Grim. And I don't really see the point in reposession. All you end up with is empty houses and homeless families. And who's going to be able to rent the houses off the banks? Surely restructuring of debt would make far more sense. People stay in their houses, the banks or mortgage companies continue to get something (it's better than nothing), and people in debt can start to put some money back into the economy.

gurramok · 07-02-2011 11:28AM

Sanjuro wrote: »

Grim. And I don't really see the point in reposession. All you end up with is empty houses and homeless families. And who's going to be able to rent the houses off the banks? Surely restructuring of debt would make far more sense. People stay in their houses, the banks or mortgage companies continue to get something (it's better than nothing), and people in debt can start to put some money back into the economy.

Who would pay for the restructuring of the debt?

Wibbs · 07-02-2011 11:29AM

Sanjuro wrote: »

Grim. And I don't really see the point in reposession. All you end up with is empty houses and homeless families. And who's going to be able to rent the houses off the banks? Surely restructuring of debt would make far more sense. People stay in their houses, the banks or mortgage companies continue to get something (it's better than nothing), and people in debt can start to put some money back into the economy.

Yep. A tad stupid to repossess. Empty house, not being maintained in a crap housing market so cant sell and even if the bank could it would likely be a significant loss.

Plus if that amount of repos start to hit the headlines(if they ever do of course) the people might finally get up off their arse and be more open in revolt. The irish fear of eviction runs deep and with good reason.

I know a few families in mortgage arrears. I suspect there may be even more about to go wallop than the stats so far suggest(EG ones on mortgage insurance about to run out)

Mr. Presentable · 07-02-2011 11:31AM

I hate to see people lose their homes, but a lot of the time they won't make any sacrifice towards keeping them.........

Many people are not prepared to trim other costs, live within their means. My sis works in a MABS and has people every day looking for help with the ESB, the mortgage etc, who get the hump when it is suggested to them they sell the Audi.

A bank doesn't want your house, it wants your money and if you make some efforts to pay them, any efforts at all, then there is no way they can take your home. The article is scare-mongering, little else.

Sanjuro · 07-02-2011 11:35AM

There is a mortgage crisis coming. I'm no economist, that's for sure. But I know a great many people with mortgages who are in negative equity. I know they're not the entire country, but they're a snapshot of what's going on. The current situation cannot be sustained, so something has to be done about this.

When I said debt restructuring, I meant a restructuring of repayment that can be approved by both sides. There's nothing to be gained by reposession, so restructuring is the only thing that makes sense. Like I said, I'm no economist, and I'm not a financial expert by any means. But the logic in reposession just seems non-existant.

Cavehill Red · 07-02-2011 11:43AM

Mr. Presentable wrote: »

I hate to see people lose their homes, but a lot of the time they won't make any sacrifice towards keeping them.........

Many people are not prepared to trim other costs, live within their means. My sis works in a MABS and has people every day looking for help with the ESB, the mortgage etc, who get the hump when it is suggested to them they sell the Audi.

A bank doesn't want your house, it wants your money and if you make some efforts to pay them, any efforts at all, then there is no way they can take your home. The article is scare-mongering, little else.

This, with all due respect, is drivel of the highest order.
The subprime lenders have been in court every week for many months now seeking to possess houses from people, dozens at a time, many of whom are only a few months behind payment due to unemployment.
Yes, others have abandoned the property and the country, and yes, others again are years in arrears. But the fact is that the subprime lenders have been all too eager to take property in lieu of debt restructuring.
The mainstream lenders aren't quite so lethal because they're mostly constrained by the conditions attached to the various bank guarantees.
But McWilliams is right - a mortgage tsunami is coming and the banks will not blink at dispossessing families of their homes by the hundred even as we continue to plough hundreds of billions into keeping those same banks afloat.

Liam_Flag · 07-02-2011 11:44AM

Sanjuro wrote: »

Grim. And I don't really see the point in reposession. All you end up with is empty houses and homeless families. And who's going to be able to rent the houses off the banks? Surely restructuring of debt would make far more sense. People stay in their houses, the banks or mortgage companies continue to get something (it's better than nothing), and people in debt can start to put some money back into the economy.

To be fair , the only way that new first time homeowners will buy is when they see realistic prices.
Deferring the period of repossession causes stagnation in the housing market and Bubble-Type prices. People are effectively waiting for the prices to drop another 40% in some places.

arybvtcw0eolkf · 07-02-2011 11:51AM

Wibbs wrote: »

Y The irish fear of eviction runs deep and with good reason.

Just on that..

I was asked for directions Baldoyal Ind. Est recently, it was pissing out and I was going to train in a gym in the estate so I told the guy to jump in and I'd run him to the garage..

We got talking and I asked jokingly if he was going to collect his new 10 D car.. "No, the bastards got me" ... Long story short, he's lost his job, mortage appears, court, repo... And married with two small children with Christmas looming...

My stomach was sick. I couldn't imagine telling my children we were losing the house, their friends etc.

sophia25 · 07-02-2011 11:53AM

Well the banks have to be a bit more proactive. I own two rental properties with my estranged husband. He has refused me access to these properties and rents them out and receives rent of 2k per month. He has not paid a penny to the mortgage company in almost two years and they are now 45k in arrears. At the same time he is 6.5k in arrears with child maintenance. I spent a whole year phoning the mortgage company begging them to send him out arrears letters and/or to phone him. I honestly believe they don't want to do anything as they are in negative equity and if they repossess the loss will be actualised as opposed to being just an arrears case at present. I believe the banks are holding off on a lot of cases as they don't want their real state to be revealed. At this stage, despite everything, these cases haven't even been passed to a solicitor and the bank knows they are both being rented out. I wish the bank would take possssion off them and at least receive the rent instead of my indebtness raising 2k every month. Oh God, I get palpitations even thinking about it.

ntlbell · 07-02-2011 11:57AM

Sanjuro wrote: »

There is a mortgage crisis coming. I'm no economist, that's for sure. But I know a great many people with mortgages who are in negative equity. I know they're not the entire country, but they're a snapshot of what's going on. The current situation cannot be sustained, so something has to be done about this.

When I said debt restructuring, I meant a restructuring of repayment that can be approved by both sides. There's nothing to be gained by reposession, so restructuring is the only thing that makes sense. Like I said, I'm no economist, and I'm not a financial expert by any means. But the logic in reposession just seems non-existant.

In a lot of cases there is not going to be any room for re-structruing. some are out of work with no income, some are on 40yr mortgages with 100% how the hell do you restructure something like that? let them pay it off till they're 90?

you can eithier afford something or you can't. for a lot of people who bought in the last 7-10years restructing won't fix anything just prolong the inevitable.

Earthhorse · 07-02-2011 11:59AM

Wibbs wrote: »

Yep. A tad stupid to repossess. Empty house, not being maintained in a crap housing market so cant sell and even if the bank could it would likely be a significant loss.

Sanjuro wrote: »

When I said debt restructuring, I meant a restructuring of repayment that can be approved by both sides. There's nothing to be gained by reposession, so restructuring is the only thing that makes sense. Like I said, I'm no economist, and I'm not a financial expert by any means. But the logic in reposession just seems non-existant.

If you restructure the debt of people in arrears then where's the incentive for those not in arrears to continue paying their mortgages? If they know that repossession isn't really on the cards then they can just stop paying their mortgage and wait for the banks to renegotiate.

Wibbs · 07-02-2011 12:17PM

Jenny Massive Lawyer wrote: »

We got talking and I asked jokingly if he was going to collect his new 10 D car.. "No, the bastards got me" ... Long story short, he's lost his job, mortage appears, court, repo... And married with two small children with Christmas looming...

My stomach was sick. I couldn't imagine telling my children we were losing the house, their friends etc.

Yea M it's an all too common story. OK like Mr. Presentable said some are wasteful muppets who won't sell the Audi, but many many more aren't. In any case you can pretty much guarantee if they do have an Audi or whatever, the thing is financed. Second hand car? Not worth jack, or not enough to be worth selling it(MABS are a great service, but sometimes like anything you hear of shíte advice. One guy I know was told to sell his van(secondhand van worth less than nothing) yet it was him and his family's only means of transport and the only way for him to have a chance of earning a living).

I do think many people had/have forgotten how to live within their means. Easy credit took the notion of means out of their conscious minds and now they're swamped. Of the people I know in trouble, I would say over half of them have no chance ever of paying off what they owe. TBH I simply can't figure out how a couple of them are surviving. Not knowing their circumstances as I do.

Lumen · 07-02-2011 12:20PM

IMO people should be given reasonable chance to repay (a few months), and then the properties should be repossessed and prices allowed to find their level. The properties won't go empty - people still have to live somewhere, and demand for housing is elastic. There is a great deal of unmet demand in Ireland, as evidenced by threads on boards from people living with their parents in their twenties and thirties.

"Keeping people in their houses" also has downsides, like labour market inflexibility. Average rent in Dublin is still around €1000 pcm, and houses are still far from affordable to buy. These costs feed through the entire economy and harm our export competitiveness which is crucial to our long term economic health.

Also, bankrupcy laws desperately need reform. People make mistakes; it's unfair and economically counterproductive to chase the debts to the grave.

Sanjuro · 07-02-2011 12:38PM

Jenny Massive Lawyer wrote: »

My stomach was sick. I couldn't imagine telling my children we were losing the house, their friends etc.

I went through that with my parents in the 80's recession. It was pretty awful. Wouldn't wish it on anyone. Cant imagine what it'd be like for a parent to have to break it to the kids.

Wibbs · 07-02-2011 12:42PM

Earthhorse wrote: »

If you restructure the debt of people in arrears then where's the incentive for those not in arrears to continue paying their mortgages? If they know that repossession isn't really on the cards then they can just stop paying their mortgage and wait for the banks to renegotiate.

I agree and its a difficult one. "They" will have to balance the social/political fallout of mass evictions against the economic fallout of not doing it. I suspect they'll evict. Start with single people/landlords. Landlord losing his holdings looks palatable. Then couples, but leaving couples with kids until last. Teary eyed children standing in the garden while the sheriff piles up their stuff does not go over well on the news. They'll have to keep it quiet. IMHO they're already doing so.

It could get ugly though. One chap I know who is in trouble(and it is genuinely little fault of his or his wife, just a run of bad circumstance), has said if the day comes that the sheriff shows to his home he'll take "action against him" as he puts it. People talk shíte of this nature, but this chap I would believe 100%. He figures at that stage he would have nothing to lose.

Dravokivich · 07-02-2011 12:44PM

Liam_Flag wrote: »

Can't wait to check out some knock down prices for houses.

D Mc W reckoned that a rule of thumb should be the annual rental income from a house x 12-15 times to get a true value of a property.

did the maths... means the 2 bed apt i'm renting would be about 126k.

not too bad.... just dont tell alison...

Dravokivich · 07-02-2011 12:52PM

Wibbs wrote: »

but leaving couples with kids until last. Teary eyed children standing in the garden while the sheriff piles up their stuff does not go over well on the news. They'll have to keep it quiet. IMHO they're already doing so.

doesnt change a thing. not being a bollox, seen it before several years ago to a family that were next door to my folks. got kicked out of social/council housing a couple of days before christmas with feck all elsewhere to go. we took'em in for a while and helped get their stuff to a friend of theirs.

made front page in the herald and did nothing for'em.

you'll get shock value from it, but nothing more.

gurramok · 07-02-2011 01:00PM

Dravokivich wrote: »

did the maths... means the 2 bed apt i'm renting would be about 126k.

not too bad.... just dont tell alison...

180k on mine and that's using 15x to be generous. If the social welfare floor aka Rent Supplement was not distorting the picture, you know the rest!

Sanjuro · 07-02-2011 01:00PM

Dravokivich wrote: »

doesnt change a thing. not being a bollox, seen it before several years ago to a family that were next door to my folks. got kicked out of social/council housing a couple of days before christmas with feck all elsewhere to go. we took'em in for a while and helped get their stuff to a friend of theirs.

made front page in the herald and did nothing for'em.

you'll get shock value from it, but nothing more.

That's one case. When it starts becoming the norm, it'll get peoples' backs up then. It's one thing to look at a report and think 'oh dear.' It's another when you see it happenening en mass and think 'we're next.'

SEPT 23 1989 · 07-02-2011 01:01PM

If i owed serious money to the banks and i knew i could never pay it back i would head to the Uk and declare myself bankrupt

What is the point of being a slave to these corrupt b@stards for the rest of your life?

House repossessions 'set to soar'

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