Mortgage repossessions surge as recession bites

Mortgage repossessions are rocketing along with Spain’s recession and rising unemployment, new figures from the commercial courts reveal. Last year there were 58,686 repossessions compared to 25,943 the year before, an increase of 126%. Mortgage lenders made more repossession requests last year than in all of 2005, 2006 and 2007 combined.

The real drama took place in the last quarter of last year, when there were 21,211 repos compared to 13,487 the in the third quarter. The deterioration in the housing market deteriorated as the year went on.

By region, Andalucía led with 11,458 repos, up 150% in a year, followed by Catalonia with 11,240, up 148%, and The Valencian Community with 10,591, up 97%.

Repossessions are expected to continue rising this year, though at a lower rate. The commercial courts forecast a total of 76,500 repos this year, 43.5% more than last year.

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Thoughts on “Mortgage repossessions surge as recession bites

  • Mortgage repossessions is hot I understand. Next week I’m visiting the Costa Brava and I’m invited by a Spanish Bank to talk about mortgage repossessions of some houses. But before that I like to learn some more what is really hapening with this repossession. You become the new owner with the old mortgage. Is this true you only have to become accountable for the mortgage. Or does it work in another way??

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