First time buyers Guide

Finding a property

Repossessions

Repossessed properties are becoming an increasingly popular way for first-time buyers to grab a bargain.

Government figures have shown that the number of people in England having their homes repossessed jumped by 45 per cent during the first quarter of 2005 compared with figures for the same period last year.

And while that increase could have a damaging effect on the property market as a whole, it does offer aspiring first-time buyers a unique opportunity to find themselves some affordable housing.

However, it can be hard to find repossessions because mortgage buyers have stopped revealing if the properties that they are selling have been repossessed. This is because they want to present a friendly, family-oriented image (home-makers, not home-takers).

The best way to find out what repossessed properties may be available is to ask at your local mortgage lenders. Although the information may not always be readily advertised, lenders still need to make money out of the property and an enquiry is often welcome.

Bear these caveats in mind:

• A repossessed home may not be in tip-top condition if the ill-fated owner was so short of cash that the property was neglected.

• Some repossessions are poorly situated. Most people in financial trouble first try to sell their property themselves before the bank or building society forecloses on them, so ask yourself why the home ended up being repossessed - you might find a railway line running directly behind the house!

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