One Third of Families Who Lost Their Homes in 2013 Paid In Lieu, 13% Less

20/05/2014 – RTVE

Almost 40.000 families, precisely 38.961 lost their homes in 2013 due to non-payment to their lenders. This is by 0.23% less than a year before when 39.051 families lost the house they were living in. According to data published by the Bank of Spain, around one third of all foreclosed homes in 2013 corresponded to in lieu of payment (13.178 units, by 13% less than in 2012).

Moreover, 17.907 families handed over their dwellings to banks voluntarily in exchange for debt extinguishment.

Around 54% of the total seized houses, 21.054 main residences, were taken over in force of a judicial decision. Out of these, 92% were abandoned at the moment of foreclosure (19.386 units). The rest, 1.668 homes still hosted their families.

As per the information of the Bank of Spain, the number of main house seizures fell in 2013.

However, 10.733 units of other type of houses (not main dwellings) fell into hands of banks. The total number of executions reached 49.694, by 11% more than a year before.

Out of all foreclosures, 21.521 were given up voluntarily (16.173 as in lieu of payment), whilst 28.173 were forced by lawsuit (26.113 empty homes and 2.060 occupied at the moment of seizure).

Furthermore, in 2013, the in lieu of payment represented 32.5% of the total, out of which 33.8% corresponded to main dwellings.

When it comes to surrendering the house to a court authority, at the moment of repossession 92.7% of all homes were abandoned. In case of main houses, the percentage stood at 92.1%.

On the other hand, there have been 147 evictions involving physical removal of the dwelling inhabitants, out of which 93 cases corresponded to main homes. Thus, the foreclosures with attendance of forces of law declined by 57% in 2013 in regard to 2012 (346 cases).

According to the figures of the Bank of Spain, at the end of 2013 the number of new mortages signed throughout the year showed 6.462.483 contracts (2% less than in 2012). Out of these, 5.887.993 loans were granted for purchase of the main house (91%) and 574.490 for other types of dwellings.

Nonetheless, the number of mortgages lent for second house rose in 2013 by 4% and marked 21.859 credits.

 

 

Original article: RTVE 

Translation: AURA REE

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