Mortgage arrears continue to fall

The total number of mortgage accounts for principal dwelling houses (PDHs) in arrears fell further in the fourth quarter of 2017; this marks the eighteenth consecutive quarter of decline. A total of 70,488 accounts (10 per cent) were in arrears at end

December, a decline of 2.8 per cent relative to September 2017.

Mortgage arrears have been falling slowly since their peak almost 4 years ago


The number of PDH mortgage accounts that were classified as restructured at end-December was 118,477. Of these restructured accounts, 87 per cent were deemed to be meeting the terms of their current restructure arrangement, down slightly from the previous quarter. There was a continued reduction in short-term restructure arrangements such as Interest Only and Reduced Payments, which was partly offset by an increase in longer-term arrangements such as Arrears Capitalisations.

Non-bank entities now hold 61,446 mortgage accounts for principle dwelling houses and buy to lets combined. Of this number, 47,820 relate to PDH mortgage accounts, representing 7 per cent of all PDH mortgage accounts outstanding; 5 per cent are held by regulated retail credit firms with the remaining 2 per cent held by unregulated loan owners. Table 1 below further displays the breakdown of PDH mortgages and the arrears profile held by banks and non-bank entities.

Residential Mortgages on Principal Dwelling Houses Arrears At end-December 2017, there were 729,722 private residential mortgage accounts for principal dwellings held in the Republic of Ireland, to a value of €98.5 billion. Of this total stock, 70,488 accounts were in arrears, representing a fall of 2,001 accounts or 2.8 per cent over the quarter. Some 48,433 accounts (7 per cent) were in arrears of more than 90 days compared to 50,688 in the previous quarter representing a fall of 2,255 cases.

Source: Central Bank of Ireland

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