Negative Equity NI... Cannot Keep Up With The Joneses
A recent report by the mortgage servicing company HML suggests there is good news for UK homeowners. Negative equity is falling in the UK, down 85.4% in the last four years. According to the report, the number of homeowners in negative equity fell from 826,800 to 120,511 from early 2011 to 2015.
Surely this is great news for borrowers! Why, then, does the financial situation seem more difficult than the statistic suggests? Why do people in Northern Ireland feel overwhelmed with negative equity? As usual, there is more to the story than the headline.
The vast majority of the improvement in negative equity figures was seen in Greater London, which experienced a 99.8% drop in negative equity, no doubt due to the ongoing London property boom. Other areas across England saw a 73 - 99% decrease in negative equity, while Scotland and Wales saw a more modest recovery of 51% and 63% respectively.
What about Northern Ireland? With negative equity on the decline everywhere in the UK, surely NI homeowners are better off than they were at the beginning of the crash - if only that was the case.
Northern Ireland is the only region of the UK that has seen an increase in negative equity. In Northern Ireland, the number of homeowners in negative equity has actually gone up by 27% over the last four years!
The HML report highlights the huge regional differences in the property market. Here in Northern Ireland, homeowners still need more help than ever to recover from the property crash. While there has been some improvement in the last two years; overall, the situation has gotten worse for people in NI.
If you find yourself struggling with negative equity or other debt problems, just remember that you're not alone. At GDP, we understand that many people are embarrassed about debt and reluctant to talk to someone about it, especially if you feel like you are the only family struggling. The point is you are not, but ask yourself this, are you one of the ones doing something about it?
In Northern Ireland, many people are struggling with debt, but the best way to tackle it is to get advice, and the best advice for you, as early as possible. There are important decisions to be made, so you need to speak to trusted professional advisors with the relevant knowledge and experience who can actually help.
Too many people think bankruptcy is the easy option. We at GDP challenge convention. The banks did not go bankrupt... so why should you? Too many people are walking around with dark clouds hanging over them, but GDP seek to show you a light in the darkness that you did not know existed. Our focus is not about telling you what option is wrong or is right, but educating and empowering you to do the right thing for you.
The first step towards creating a plan to manage your debt is to educate yourself about all your options. At GDP, we provide real, honest, expert advice that is both confidential and impartial.
Northern Ireland's economy is still struggling, but your individual circumstances can be improved. You need to get in touch with one of our life changing consultants today to find out what you can do to solve your financial worries.