Rising fears of a full blown UK recession are forcing flat owners to sell their properties at below market prices.
They are taking these desperate measures because debt problems mean they can’t afford to wait for a turnaround in the property market...

National Homebuyers, the UK’s largest home purchase company has launched a £250 million rescue fund to assist families struggling to meet their mortgage commitments.

“This safety net is available for those most at risk mortgage holders,” says Julian King of National Homebuyers. “We believe we can support at least a thousand families who are struggling to make their payments before it is too late.”

This week’s stock market falls have added to the woes of thousands of home owning people in the UK. It is estimated that 45,000 could face repossession this year as the effects of the credit crunch and the beginnings of a global recession take their toll.

A recent survey by National Homebuyers found that just under half those seeking its services (49 per cent) are expecting the value of their homes to plummet.

“There has been a sea change in the property market in the last six months. Many homeowners are not able to meet their mortgage payments and are desperate for a solution,” says King.

He adds: “There is talk of interest rate cuts on the horizon. But for many families it will be too little too late. They can’t afford to rely on the Bank of England’s policy makers to save them.”

National Homebuyers saw an unprecedented high-volume of enquiries in the summer with calls up 95 per cent during the height of the 5.75 per cent interest rates. “Homeowners were expecting the worst ahead of the government and the economy, we have been listening to their concerns and have found the funding to support them.”

Many of the 1.4 million homeowners, whose fixed-rate mortgages revert to base rates during the next three months, will find difficulty sourcing an affordable alternative.

Debt-laden families also face a triple-whammy from credit lenders tightening controls on borrowing. With higher interest rates, less money being lent and the spectre of negative equity, an increasing number of homeowners seem to be opting for a sale.

“Banks have been lending too much to those who cannot afford it and subsequently ended up struggling to meet extortionate mortgage repayments.

“This year we’re on a mission to help people sell the home they can’t afford more easily and efficiently than ever before. We’re focused on removing as much stress from the process for them as possible,” adds Mr. King.

“The tragedy of people losing their homes because they cannot meet repayments must be avoided. This increases the likelihood of families being broken up because of debt.”

National Homebuyers is positioning itself as the company which can help home owners who can’t afford to wait and see.

“National Homebuyers is the best placed company to help families adversely affected by debt,” says Mr. King. “We are well funded and can guarantee to purchase.”

“We can act fast and help people out of the burden of debt by releasing equity in their homes before that equity diminishes.”

Further information:

National Homebuyers’ Mortgage Rescue Scheme is being promoted on its website www.nationalhomebuyers.co.uk/mortgagerescueschemes.html

Key elements of National Homebuyers’ Mortgage Rescue Scheme:

Scheme offers two alternatives to home owners:

1) Sell their property and downsize/ switch to renting.

2) Sell their property then remain as tenant

* No age limit
* No HIP costs
* Offers an immediate solution ‘often within days’
* Participants can sell at a rate which allows them to remain in their home rent free
* All packages are flexible and bespoke to the sellers situation