The economic slowdown that has long been predicted is now making itself felt. Redundancies, a housing slump and a crack down on lending are thought to impact on up to a million households across the UK. Many believe that more homeowners will be unable to stop house repossession as the property market dries up, with fewer buyers available. The quick house sale market offers a fast cash sale that will stop house repossession and free up much needed money to pay off debts. Renting is by far cheaper than home ownership – especially at a time when homes are predicted to devalue by £50 a day throughout 2008.

The Financial Services Authority says many borrowers and people in debt are vulnerable during the economic slowdown. Those who took out large mortgages to get onto the property ladder are thought to be the first in the firing line, and the FSA has estimated about one million homes will be at risk from or in serious trouble of being unable to stop house repossession. For them, the quick house sale market could be a viable alternative.

According to the FSA there are three major warning signs homeowners should look out for that could leave them more vulnerable to house repossession:

• If the mortgage you’ve taken out is longer than 25 years
• If the amount you borrowed is worth more than 90% of the home
• If the amount borrowed is 3.5 times or greater than your income level

If you tick these three boxes, you may want to consider a fast house sale on the quick house sale market, especially if you have debts on top. It’s thought that over a third of mortgages taken out in the last two years fall into one or more of these risk bands (over two million homes) and that the 1.04 million whose mortgages fall into two of these risk categories are those that most concern the FSA. About 150,000 homes tick all three risk categories, meaning they are the most likely to fall into mortgage arrears and even be unable to stop house repossession. If you are relying on rising housing prices to bail out your finances and are reliant on credit and in debt, 2008 promises to be a bumpy year.