Downsizing used to mean selling a large-ish house and moving to something smaller, probably in the countryside. But now the term can also imply enforced relocation, long before retirement, opting for the bijou in a less sought-after postcode, because you can no longer afford your mortgage repayments. The accommodation at your new address may be less roomy, but better that than being yet another repossession statistic.

More than one in five people whose properties are for sale admit that they are forced downsizers. They may be tempted to hide their circumstances, claiming, for example, that they are going elsewhere to be closer to public transport. But such game-playing is not the best strategy.

There is no need to spell out your troubles, but you should make it clear that you are motivated to sell, as buyers now have their pick of properties, know they will get a bargain and see through any pretence. Ed Mead, of the estate agent Douglas & Gordon, said: “Buyers are also wise to macho stuff, like inflating the asking price, so that you sell for more than the property’s worth even after giving the buyer a discount.”

Better than forecast mortgage approval figures suggest that the stand-off between buyers and forced downsizers and other sellers reluctant to accept lower offers is starting to end in some neighbourhoods. However, the repossession numbers out today and other figures highlight the scale of the problems afflicting the market.

Pressure is now increasing for measures in the Pre-Budget Report to halt the rise in repossessions, compel the banks to lend and kickstart house building. Providing extra funds – including some allocated for future years – to housing associations is seen as one solution. Some of this cash would be spent on buying the unsold housing stock of developers, providing a boost to construction industry employment, as well as homes for those already repossessed.

Alistair Darling is also being urged to extend the stamp duty holiday on homes up to £175,000. There is also a call for the reintroduction of Miras (mortgage interest relief at source), the tax break on mortgage payments, withdrawn in 1999. Barack Obama has something similar in mind for struggling US homeowners and Mr Darling might like to follow suit. This would help downsizing to return to its status as a lifestyle choice, rather than dire necessity.