The Council of Mortgage Lenders said that it was expecting its prediction of 45,000 possessions last year not to be exceeded.

The prediction was made in October 2007.

Although it is yet to finalise its data, the CML said it believes the number of properties taken into possession in 2008 will not exceed the number.

Data published for the first nine months of 2008, according to reports, shows possession totalling 30,200.

It stated that the action taken by both lenders and borrowers was already leading to fewer possessions than it anticipated.

Lenders, said the CML, were scrutinising how they were dealing with arrears to avoid taking possession wherever possible.

It added that borrowers foreseeing payment problems were also seeking advice and often helped themselves by talking to their lender at the earliest chance, before missing a payment.

The CML data on mortgage arrears and possessions in 2008 will be published on February 20.