As mortgage rejections are set to soar, is the global credit crunch being felt on your wallet? There is a way to stop house repossession.

More mortgage applications are being scrutinized and rejected as the global credit crunch is making lenders more wary. The move points to the fact that many homeowners already with a mortgage simply can’t afford to keep up with their mortgage repayments. Falling into mortgage arrears makes it harder to stop house repossession – which can devastate families.

The new restrictions on lending to high-risk customers are thought will impact on the already slowed down housing market. As a result, those homeowners desperate to sell their homes because they have difficult debt or fear they are unable to stop house repossession will find it harder to sell their homes quickly on the conventional property market. A quick house sale using a specialist property company may be the only fast, efficient and effective answer to stop house repossession.

Those who are on a low-income will find it increasingly harder to get onto the property ladder as a result of the tighter controls. However, it is hoped that this will save them the misery of falling into mortgage arrears where they are incapable of stopping house repossession. For many people already in such a position, a quick house sale to stop house repossession and opting for the relative financial freedom of renting is in fact, a much more appealing alternative.

It isn’t just those on low incomes that are suffering, many first time buyers and existing homeowners are being priced out of the market. And homeowners looking to remortgage on a sub-prime deal to help pay off debts for example, might find themselves unable to make the repayments and unable to stop house repossession.

Although by limiting mortgages to only those who can afford them may help stop house repossessions in the future, there are concerns the impact on the sub-prime market valued at around £130bn a year, could impact on the overall economy and housing market. As more people go into debt management, there will be more home repossessions – the overall result of which will be a fall in house prices. It’s thought that around 5% of new home buyers are vulnerable to a downturn in the housing market as a result of over-borrowing and a quick house sale may be the only way to avoid negative equity. If you don’t want to be imprisoned in your own home waiting for house prices to rise again, a quick house sale could be the solution.

njoy.co.uk is a dedicated website that can help get you the best price for your property from committed cash buyers in your area. We aim to have you a cash offer in principal for your house within 24hrs of you registering your house on njoy.co.uk.