Daft Property - Irish Property News

Up to 300,000 homeowners in negative equity Further 30,000 will struggle with mortgage payments after Budget tax increases kick in... THE spectacular fall in property prices is even worse than was stated by a government economic think tank last week -- up to 300,000 homeowners are now in negative equity. Expected interest rate hikes will mean another 30,000 people -- roughly the population of Dundalk -- will struggle to meet their mortgage payments by the end of the year. The recession, joblessness and rising interest rates already mean that 70,000 borrowers have missed payments or renegotiated their mortgages. Now financial institutions are expected to increase their standard variable rates. It is also widely expected that the European Central Bank will increase its interest rate before the end of the year. This would also hit those on tracker mortgages. Michael Dowling, of the Independent Mortgage Advisors Federation (IMAF), said: "With rising unemployment, higher