...Three-Month Plus Arrears Increase: Late-stage arrears reached a new peak of 18.4% in1Q14. The increase was most pronounced for buy-to- let loans (BTL). Rapid Home Price Growth: The national index of home prices was up by 8.1% in the year to February 2014, with an increase of 1.7% in 4Q13 alone. Appreciation is being driven by increased demand for properties in Dublin. The peak-to-current correction now stands at 46.7%. Loan Write-Downs Expected: Some lenders are considering partial write-downs for selected loans to improve borrower affordability. This is in line with Fitch's expectations that such action would help resolve the mortgage debt crisis. Signs of Properties in Possession: The number of properties taken into possession by lenders has increased, as the enforcement process has become more certain. Total enforcement cases remain very low relative to the number of loans in arrears....
