When you are looking to buy a property in the Australian market, you must wonder if all the news about property spikes and rises is actually true…
Is everyone making money in property or are some people still losing their homes due to repossession?
Experience shows us that the higher property prices climb the greater number of people who will lose their home from rising property prices.
In most case, the banks are known to take a significant percentage of the repossessed properties. Considering that the extent to which repossession is authorized and how it may be executed significantly varies in different states. So you must have all the jurisdictions guidelines for repossession.
What you must have in mind is that when a lender cannot get a collateral, he cannot peacefully obtain a property through self-help repossession, this is because the laws do not allow self-help repossession hence the alternative is that the one who is borrowing must return the goods to the judgement.
The property market in Australia is witnessing a substantial increase in the number of homes being repossessed. From this constant rise, the government of Australia has forced lending institutions to be somehow lenient to the cases where homeowners have repaid at least well in the past, and they are facing financial difficulties.
Though the government has tried to help the homeowners, home repossession has not stopped.
Those who receive an eviction notice, the rate is worsening, stressful and awful.
Before buying into a rising market – beware!
Consider the amount of money that you are about to borrow and if you can pay it back should something unforeseen happen to you.
If you are bidding, make certain that you have your money ready and approved. When you are buying the property be aware of the fluctuations of exchange rates and market conditions.
No one wins when a home is repossessed by the banks!