Mortgage Arrears Are Falling – But Thousands Still Need Help

The Changing Landscape of Mortgage Arrears

 Ireland has made significant progress in tackling mortgage arrears since the height of the crisis. In June 2013, almost 143,000 mortgages were in arrears – nearly 19% of all home loans in the country. Many families faced constant fear of repossession.

By the end of 2024, that figure had dropped to 42,384 mortgages in arrears, a reduction of over 100,000 accounts. That’s a 70% decrease in just over a decade.

While this is good news overall, the numbers also highlight the ongoing challenge of long-term arrears. Over 14,892 mortgages remain more than 720 days behind – families who are years in arrears, with debts often stretching into six figures.

Why Are Families Still Struggling?

 Even with falling arrears, thousands of households remain stuck because:

• Interest rate changes: Between July 2022 and September 2023, the European Central Bank raised rates ten times. For many, repayments jumped overnight. Though rates began to fall again in 2024, the damage was already done.

• End of fixed rates: Families coming off low fixed-rate deals suddenly faced much higher payments.

• Life events: Illness, unemployment, or relationship breakdowns can turn a manageable mortgage into an impossible one.

For these households, ignoring the problem isn’t an option. Without action, repossession is a real risk.

How Abhaile Helps

 Since its launch in 2016, Abhaile – the State-funded mortgage arrears service – has helped over 32,000 borrowers in long-term arrears. It provides free financial, legal, and insolvency advice so that families can find solutions and, where possible, keep their homes.

In 2024 alone, Abhaile supported thousands of households:

• 2,083 borrowers received advice from a Dedicated Mortgage Arrears (DMA) Adviser.

• 1,958 borrowers received vouchers to consult a Personal Insolvency Practitioner (PIP).

• 359 borrowers were granted legal aid for a Personal Insolvency Arrangement (PIA) court review.

• 2,983 borrowers received in-court support from Court Mentors.

• 1,340 unrepresented borrowers were supported by Duty Solicitors.

• 555 borrowers used a Consultation Solicitor Voucher for legal advice.

Since 2016, over 28,000 households have been supported by Abhaile, with thousands securing sustainable repayment solutions.

Engagement Leads to Solutions

The data shows a clear pattern: borrowers who engage with Abhaile and PIPs are far more likely to find a solution.

• Of the 16,000+ borrowers who worked with a PIP, around 37% secured a formal solution (such as a PIA).

• Another 7% achieved informal solutions like Mortgage-to-Rent or voluntary restructures.

• Critically, 98% of PIAs allow families to remain in their homes.

But there’s also a warning: around 20% of borrowers stopped engaging, leaving them vulnerable to repossession.

What This Means for You

If you’re behind on your mortgage, the worst thing you can do is ignore the letters. Even in very long-term arrears, solutions are possible – but only if you engage.

• Seek advice early – the sooner you act, the more options you’ll have.

• Know your rights – lenders cannot simply repossess your home without due process.

• Use the free supports available – Abhaile is there to ensure no family faces lenders alone.

Conclusion

 The fall in arrears since 2013 is encouraging, but for the 14,000+ families still in long-term arrears, the struggle is far from over.

The key message is simple: help exists. At McNamara & Associates, we work daily with clients who avail of a free consultation using the Abhaile Scheme. This puts them on a path to restructure debt, defend repossessions, and secure sustainable repayment plans. If you’re worried about arrears, contact us today.