Home repossession increasing in St Albans (From St Albans & Harpenden Review)

Home repossession increasing in St Albans

4:52pm Friday 29th August 2008 in

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ST ALBANS has seen one of the biggest increases in the number of mortgage repossessions in Hertfordshire, Bedfordshire and Essex, government statistics have revealed.

Figures show there was a 25 per cent rise in repossessions during the first half of the year compared to the same period in 2007. But the increase accelerated to 35 per cent in the second quarter of this year.

Within Hertfordshire, Bedfordshire and Essex, only neighbouring Watford showed a greater increase in repossessions than St Albans.

St Albans Liberal Democrat parliamentary candidate Sandy Walkington described the figures as ‘very alarming’.

He said: “We know how expensive it is to buy property in St Albans. People have to really extend themselves just to get onto the local housing ladder.

“Many will have taken out limited term fixed rate mortgages and the difficulty comes when they have had to renew their mortgages on much higher variable rates.”

He added: “It is not the job of the Government to prevent house prices falling to a more affordable level. But it is not in the interest of the economy as a whole if negative equity and repossession leads to large numbers of people becoming homeless.”