Rising Repossession Rate strikes Fear amongst UK Homeowners

UK homeowners face a hard time ahead. Rate hikes are finally starting to hurt and push many homeowners to the brink of financial ruin. Consequently, repossession rates in the UK have been steadily rising. Yet, repossessions are often avoidable and according to HyperSaver, a UK based property company, it is possibly to stop the repossession process literally at the last minute.

The UK housing market is in dire straits. House prices in the UK are falling and interest rates have hit the pain threshold. For many homeowners this means hardship and suffering. Many property owners are on short-term fixed rate nearing its end. As a consequence many people now face an unpleasant surprise when their fixed rate mortgage is changed to the variable rate. While it is possible to shop around for better deals, the tightening of credit conditions means that a significant number of homeowners are stuck with their existing lender.

For many people these problems are compounded by personal debt problems, unemployment, ill health and rising costs of living like fuel and food bills. Not surprisingly, many homeowners fall behind with their payments and end up having arrears. This is usually a vicious cycle leading to stress and more debt problems.

In many cases the problem can be improved by focusing on the mortgage payments rather than other debts like credit card payments. Tight budgeting and consolidating existing debts in more manageable payment plans helps greatly.

Mortgage borrowers are advised by Berend Rah, Managing Director of HyperSaver, to contact their lender to explain their situation and buy sufficient time. The situation is likely to get worse when the indebted homeowner fails to acknowledge the severity of the problem.

HyperSaver, a London based leading company has published a report on its website which is freely available to the public. This Free Report provides valuable information to help homeowners to better their financial situation and avoid the threat of repossession.

Repossession may still be on the cards and could eventually become an unavoidable evil. Fortunately, in most cases something can be done even at the last minute. Homeowners may not always be able to keep their house but they may still be able to stop repossession, even after a court date.

Any homeowner in distress is well advised to find a cash buyer to stop the repossession process. This is possible up until the moment the lender is selling the property. Often the lender sells the property well under value through an auction and is still legally entitled to recoup monies from the borrower for up to 12 years. The borrower, according to Berend Rah, Managing Director of HyperSaver, "is effectively loosing out twice when this happens; the property is sold for a mere pittance, leaving a shortfall, and costs and interests are accrued up until the day the property is sold. Repossession is also damaging the credit status of the borrower for years to come".

Under such conditions it is best to enlist the help of a cash buyer. It is important to find a cash buyer who has a good reputation and act in an ethical manner. HyperSaver prides itself for its ethical approach and as a company can help to stop repossession and often pay for the legal costs and support the homeowner throughout the whole process.