100,000 mortgages over 3 months in arrears

The Irish Mortgage Holders Association has said the latest Central Bank figures show that the volume of mortgages either at risk of arrears, in arrears, or in default at the end of June has hit €46.6bn, or 33.4% of all balances.

The figures show that the Government’s economic strategy is in turmoil, as almost 100,000 home loans are now more than three months in arrears. They also sparked fears that banks will need further capitalisation, jeopardising our bailout exit in December.

“The key issue is whether the deteriorating picture leads to the banks requiring a further capital injection from the state, said Alan McQuaid, economist at Merrion Stockbrokers.