Sunday 18 August 2019

Storm blamed for mortgage arrears rise

Snow being cleared during Storm Emma
Snow being cleared during Storm Emma
Charlie Weston

Charlie Weston

Storm Emma has been blamed for a rise in the number of people falling behind on mortgage payments in the first three months of the year.

New Central Bank figures show that close to 72,000 accounts were in some form of arrears in the first quarter. It bucked what had been a sustained trend of arrears declines.

The Central Bank said people unable to get into a bank branch due to the storm was the reason behind around 300 new cases of arrears.

The figures show the number of accounts in arrears over two years declined slightly to just under 30,000, the 11th decline in a row.

That still represented 41pc of those homeowners who have missed payments and, at €2.6bn, 90pc of all arrears balances outstanding.

One in 14 homeowners is in arrears of more than three months. The number of home mortgages classified as restructured at the end of March stood at 117,334.

Of these, 86pc are meeting the terms of their agreement.

A total of 5,446 restructures were agreed during the first three months of the year, the lowest since the end of September 2012.

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