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Ireland 'sleepwalking into a massive crisis' of home repossessions

Ireland is “sleepwalking again into a massive crisis” of home repossessions, the Irish Mortgage Holders Organisation has warned. 
James Wilson
James Wilson

10.56 3 Oct 2022


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Ireland 'sleepwalking into a m...

Ireland 'sleepwalking into a massive crisis' of home repossessions

James Wilson
James Wilson

10.56 3 Oct 2022


Share this article


Ireland is “sleepwalking again into a massive crisis” of home repossessions, the Irish Mortgage Holders Organisation has warned. 

In July, the European Central Bank raised mortgage interest rates across the eurozone from 0.75% to 1.25%. 

Amid surging inflation, further rises could be on the cards and the organisation's founder David Hall believes that many Irish people will lose their homes: 

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“We still have 23,000 households in long-term mortgage arrears,” he told Newstalk Breakfast. 

“With 90% of all arrears attributed just to those 23,000 people and that’s three per household. That’s 70,000 people at direct risk.” 

After the Celtic Tiger, thousands of homeowners who were unable to pay their mortgages faced eviction. 

A recession as deep as the last one is considered unlikely, but Mr Hall added that thousands have been unable to pay their mortgages for some time already: 

“The Central Bank asked banks and vulture funds two years ago, ‘how many people, of those that you engage with, your customers whose data you’ve seen, do you believe are going to lose their homes?’ 

“They replied by saying 16,000. 

“They went a step further and they said five-sixths of those would be by court order repossession and a sixth would be by voluntary surrender. 

“That’s their numbers. We’re sleepwalking again into a massive crisis. 

“And anyone sitting at home today thinking they’re getting a free house, I think they’ve another thing coming. 

“And those commentators who think that they’re going to get a free house have done them a great injustice.” 

Houses.

He urged anyone at risk of losing their homes to liaise with authorities instead: 

“Engage through the Irish Mortgage Holders Organisation, do not listen to the waffle that you’re going to get a free house,” he suggested. 

“No tsunami doesn’t mean a free house.”

Main image: Front door keys. 


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