Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1697803905228.pdf (Ireland)
Statistical Release Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 15 September 2023 Key Points  The number of principal dwelling house (PDH) accounts in arrears over 90 days was 29,346 at end-June 2023.

This figure represents 4.1 per cent of all PDH accounts, and is unchanged relative to end-March.

 In the year to end-June, the number of accounts in arrears over 90 days fell by 8.2 per cent, driven by a decline in long-term arrears (greater than one year).
The number of accounts in long- term arrears stood at 21,400 (3.0 per cent of all PDH accounts) at end-June.

This represents a fall of 3,653 accounts (14.6 per cent) in annual terms.

 During the second quarter of the year, the total number of PDH accounts in arrears fell by almost 4 per cent, driven by a continued decline in long-term arrears (2.8 per cent over the quarter), as well as a decline in early arrears (9.9 per cent over the quarter).
 Of the PDH accounts in arrears, some 5,886 accounts (or 13 per cent) are currently part of a legal process, 37 per cent of which have been in the legal system for over five years.

 At end-June, non-bank entities1 held 16 per cent of all PDH mortgages outstanding and 75 per cent of all PDH accounts in arrears over one year.

 Chart 1: PDH Mortgage Accounts in Arrears over 90 Days Note: The breakdown of arrears greater than 90 days is not available pre-September 2012.
The breakdown of arrears greater than 720 days is not available pre-September 2019.

1 Non-bank entities comprise of Retail Credit Firms and Credit Servicing Firms.

More detailed information on these institution groups is available on the Central Bank website here.
For queries contact: Central Bank, Media Relations Office at media@centralbank.ie or (01) 224 6299 Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 Residential Mortgages on Principal Dwelling Houses  At end-June 2023, there were 712,347 private residential mortgage accounts for principal dwellings held in the Republic of Ireland, with a value of just under €100 billion (Table 1).
Of the total stock, 46,891 accounts were in arrears, a decrease of 1,889 accounts (or 4 per cent) over the quarter This decrease can be attributed to the continued decline of accounts in longer term arrears (over one year), while accounts in early arrears (up to 90 days) also fell  At end-June 2023, 29,346 accounts (4.1 per cent) were in arrears of more than 90 days (Chart 1)2.
This figure is largely unchanged over the quarter, as the aforementioned decline in longer-term arrears was offset by an increase in accounts in arrears over 90 days and up to one year (Table1).

 The outstanding balance on PDH mortgage accounts in arrears of more than 90 days was just over €5.8 billion at end-June, equivalent to just under 6 per cent of the total outstanding balance on all PDH mortgage accounts.

Accounts in long-term mortgage arrears i.e.


over one year, accounted for 46 per cent of all accounts in arrears at end-June 2023.

The number of accounts in long-term arrears declined by 615 accounts over the quarter.

 At end-June 2023, non-bank entities accounted for 16 per cent of the total stock of PDH mortgage accounts outstanding.

Some 18 per cent of all PDH accounts held by non-banks were in arrears over 90 days, and 14 per cent were in arrears of over one year.
For non-banks, a greater proportion of PDH accounts held are in longer-term arrears when compared to banks (Chart 2).

Table 1: Quarterly & Yearly change in PDH accounts in arrears, as at end-June 2023 Chart 2: PDH mortgage accounts in arrears, as held by banks and non-banks, as at end- June 2023 x 2The figures published here represent the total stock of mortgage accounts in arrears of more than 90 days, as reported to the Central Bank of Ireland by mortgage lenders and credit service providers.
They include mortgages that have been restructured and are still in arrears of more than 90 days, as well as mortgages in arrears of more than 90 days that have not been restructured.
For queries contact: Central Bank, Media Relations Office at media@centralbank.ie or (01) 224 6299 Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 Statistical Release Residential Mortgages on Buy-to-Let Properties  At end-June 2023, there were 70,057 residential mortgage accounts for Irish buy-to-let (BTL) properties, with an outstanding balance of just over €10 billion.

Some 10,039 BTL accounts were in arrears at end-June, a decrease of 417 accounts over the quarter.
Of the total BTL stock, 7,757 accounts or 11 per cent were in arrears of more than 90 days (Chart 3).

 BTL accounts in arrears of over one year numbered 6,327 or 9 per cent of all BTL accounts.

The outstanding balance on these accounts was €1.8 billion at end-June, equivalent to 18 per cent of the total outstanding balance on all BTL mortgage accounts.
 Of the total number of BTL accounts in arrears, 16 per cent (or 1,624 accounts) were overdue by between 2 and 5 years, a further 22 per cent (or 2,227 accounts) were in arrears by between 5 and 10 years and 16 per cent (or 1,631 accounts) were in arrears over 10 years.

 At end-June 2023, non-bank entities accounted for 38 per cent of the total stock of BTL mortgage accounts outstanding.
Significantly, non-banks held 71 per cent of all BTL accounts in arrears and 82 per cent of BTL accounts with accumulated arrears greater than ten years.

Chart 3: BTL mortgage accounts in arrears, as held by banks and non-banks, as at end-March Note: The breakdown of arrears greater than 90 days is not available pre-September 2012.

The breakdown of arrears greater than 720 days is not available pre-September 2019.
For queries contact: Central Bank, Media Relations Office at media@centralbank.ie or (01) 224 6299 Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 Restructuring Arrangements3 Principal Dwelling Houses  A total stock of 61,708 PDH mortgage accounts were categorised as restructured at end-June 2023, representing 9 per cent of total PDH mortgage accounts outstanding.
The total number of restructure arrangements fell by 984 accounts over the quarter and continues a long-term trend of decline.

 Of the total stock of restructured accounts recorded at end-June, 81 per cent were not in arrears, while 85 per cent were meeting the terms of their current restructure arrangement.

The largest two cohorts of restructured PDH mortgages were in split mortgage and arrears capitalisation arrangements, respectively.
 The data on arrears and restructures indicate that of the total number of PDH accounts that were in arrears at end-June, 11,752 (or 25 per cent) were classified as restructured.

Buy to Let Properties  A total stock of 6,352 BTL mortgage accounts were categorised as restructured at end-June 2023, reflecting a decrease of 324 accounts over the quarter.
 Of the total stock of restructured accounts recorded at end-June, 81 per cent were not in arrears, while 83 per cent were meeting the terms of their current restructure arrangement.

 The largest two cohorts of restructured BTL mortgages were in term extensions and arrears capitalisation arrangements, respectively.

The data on arrears and restructures indicate that of the total number of BTL accounts that were in arrears at end-June, 1,228 (or 12 per cent) were classified as restructured.
Chart 4: Restructured PDH Mortgage Accounts by Restructure Type, end-June 2023 3 See Annex 2 for further information on restructuring arrangements/forbearance techniques and meeting the terms of the arrangement.

Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 Legal Activity and Repossessions4  The majority of accounts in mortgage arrears are not currently subject to legal proceedings5.
With regards to PDH accounts in arrears, some 30,824 accounts in arrears (66 per cent) had no formal demand issued at end-June 2023.

A further 5,886 accounts (13 per cent) were at the formal demand issued stage, but legal proceedings had not yet commenced.

Some 5,490 PDH accounts (12 per cent) currently have legal proceedings in process; this includes cases at Civil Bill lodgement stage and where the case is still active in the courts system.
 The number of properties in possession by the reporting insititutions at end-June 2023 was 410, down from 457 in possession at end-March.

 During the second quarter of 2023 a total of 14 PDH properties were taken into possession by lenders.

The majority of properties, at 10, were repossessed on foot of a Court Order, while 4 were voluntarily surrendered or abandoned.

During the quarter, 34 properties were disposed of by lenders.
As a result, lenders were in possession of 262 PDH properties at end-June 2023.

 There were 171 BTL properties in the lenders’ possession at the beginning of Q2 2023.

An additional 4 properties were taken into possession by lenders during the quarter.

Of the total BTL repossessions in the quarter, all 4 were voluntarily surrendered.

During the second quarter of 2023, 21 properties were disposed of, and a result, lenders were in possession of 148 BTL properties at end-June 2023.
4 Legal proceedings record steps to repossess a property and include cases where a formal application has been made to a court to begin repossession proceedings, along with subsequent adjournments and judgement proceedings.

5 More detail is available in the Residential Mortgage Arrears and Repossessions Statistics Explanatory Notes here.
Residential Mortgage Arrears & Repossessions Statistics – Q2 2023 Annex 1: Mortgage Arrears Data and Further Information The mortgage arrears data, along with a set of explanatory notes, are available in the Mortgage Arrears section of the Statistics portal of the Central Bank of Ireland website: http://www.centralbank.ie/polstats/stats/mortgagearrears/Pages/Data.aspx.
The Central Bank of Ireland has produced a number of consumer guides to assist consumers who are in arrears or facing arrears, including  Mortgage Arrears - A Consumer Guide to Dealing with your Lender;  Mortgage Arrears - Frequently Asked Questions; and  Guide to Completing a Standard Financial Statement.
The above guides, that include information on the protections that are available to consumers in financial difficulty, are available to download from the consumer information section of the Central Bank website.

Annex 2: Restructuring Arrangements Forbearance techniques include: a switch to an interest only mortgage; a reduction in the payment amount; a temporary deferral of payment; extending the term of the mortgage; and capitalising arrears amounts and related interest.
The figures also include advanced modification options such as split mortgages and trade-down mortgages, which have been introduced to provide more long-term solutions for customers in difficulty.

It is important to note that ‘meeting the terms of the arrangement’ is not a measure of sustainability, as not all restructure types represent longer-term sustainable solutions as defined within the Mortgage Arrears Resolution Targets (MART).
For instance, short-term interest only restructures are, in general, not part of longer-term sustainable solutions.

The MART sustainability targets also include a significant number of accounts in arrears which are part of a legal process.

These accounts are not classified as restructured within the Mortgage Arrears Statistics.

Arrears associated with such accounts are recorded in full in the data.
Annex 3: Borrower Engagement ‘Co-operation’ status is defined in line with the Code of Conduct on Mortgage Arrears (CCMA), which sets out strict criteria in relation to when loan owners can classify borrowers as not co- operating.

In such cases, loan holders must formally notify the borrower of the implications of being classified as not co-operating, including that it may commence legal proceedings for repossession of the property