foolsgold
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Post by foolsgold on Dec 10, 2019 16:50:03 GMT
Hi.....I am a regular buyer of reposesed properties and its not always as straight forward but as a rule of thumb repos in a poor condition requiring extensive refurbishment are bought at a discount of 30 percent BMV to similar properties on the street or nearby...if the properties require little more than a cosmetic makeover which may be unlikely given many properties may be far from complete then its 20 percent BMV and are sold as seen with no warranty given.
One of the reason I foolishly got involved with FS as that the LTV rates were a maximum of 75 percent so I calculated that it was unlikely would lose my capital.
I didnt factor in incompetance fraud and a light touch regulation from the FCA that looks like a complete joke to me
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Post by portlandbill on Dec 10, 2019 16:54:00 GMT
One of the reason I foolishly got involved with FS as that the LTV rates were a maximum of 75 percent so I calculated that it was unlikely would lose my capital.
I didnt factor in incompetance fraud and a light touch regulation from the FCA that looks like a complete joke to me
Hmmm, you and me both
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foolsgold
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Post by foolsgold on Dec 10, 2019 17:04:42 GMT
About a month before it went into administration I got a hunch ...think it was obvious that something was seriously wrong with FS and took all my physical cash out leaving investments only and accrued interest....all investments were overdue so couldnt put them up for sale in the SM so my whole investment was illiquid.
I would never have given a penny to this bunch of incompetent fools if the FCA hadnt have approved them....more fool me
Hence my whole viewpoint to P2P is its foolsgold
Big life lesson learned
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michaelc
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Post by michaelc on Dec 10, 2019 17:17:45 GMT
I actually started withdrawing from FS in Summer 2018 but I've only been able to extract 75% of what I had then.
Even for the year before that I was only investing in residential or the occasional "safe" bet like the paintings but I'm still significantly burnt.
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Post by sebb on Dec 15, 2019 0:20:07 GMT
I am invested in the Southampton loan and have been to the ips docs site and downloaded the forms. However, after going through them I am still at a loss as to what position my loan is in, whether I may or may not get some money back and what I need to do. I have seen the proposal doc but this just seems like a document for FS as a whole and not my loan. If anyone could help clarify what is happening and what I need/can do, it would be greatly appriciated.
Seb
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sundown
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Post by sundown on Jan 28, 2020 17:07:29 GMT
Update on Gosport loan today giving a valuation of £800,000 and saying the return to FS will be 30% of the debt figure.
Does this mean 30% of the total loan of £1.625 million?
If so this is scandalous, particularly as the site has planning permission. It looks as though they’ve given up trying to make an arrangement with a care provider. Such a shame.
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adrian77
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Post by adrian77 on Jan 28, 2020 17:25:12 GMT
totally agree- but I am wondering if this developer realised just how clueless FS were and only got these loans in order to siphon off large cash sums and never had the slightest intention of repaying them...just a theory of mine with no implied criticism of anybody...
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foolsgold
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Post by foolsgold on Feb 20, 2020 17:30:01 GMT
These connected loans had an update to say that the Administrators (presume borrower) had made a global offer but they hadnt followed it up.
Any idea what the global offer was ?
Has this borrower made a global offer to FS prior to administration that is below amount borrowed and realised just how incompetant FS are and is now reducing the offer knowing that the liquidators will accept a low ball offer?
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adrian77
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Post by adrian77 on Feb 20, 2020 18:25:58 GMT
not sure : seems a substantial property but if it needs major renovation then I guess 30% of £1.6 viz £480K might be about right - does anybody know what this property was purchased for. I am not in this loan but in related ones so interested to know just what we are dealing with. I thank you.
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Post by overthehill on Feb 20, 2020 20:41:46 GMT
Another a ***** rotten business triangle. The property was valued at 2.4 million at the time of the first loan, what a joke. And then the borrower gets another 700k. But the valuation is now 800k. Investors in the renewal should get their share of the 800k if it's realised, no return for the additional loans. The update says the borrower has made an improved offer but to include all his defaulted **** loans. If you're in the 1st charge loans expect 50% return at best, not looking good for the supplementals. Someone should suggest a daytime tv series to the BBC, there enough for at least 3 series.
A******* L****, Gosport, Hampshire - additional loan 1 240000 A******* L****, Gosport, Hampshire - additional loan 2 120000 A******* L****, Gosport, Hampshire - additional loan 3 106000 A******* L****, Gosport, Hampshire - additional loan 4 209000 A******* L****, Gosport, Hampshire - Renewal 950000
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adrian77
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Post by adrian77 on Feb 20, 2020 22:40:34 GMT
yes a complete joke - I have checked with my few remaining property loans (the ones I was unable to ditch) and FS have clearly used the idealised selling price after deducting the idealised construction costs and assumed an idealistic selling time frame and taken that as the valuation - as I said at the time this is something I never do as it is crazy in my book. I love old buildings - some are easy and relatively cheap to renovate and others have hidden nasties which can be nightmare and selling a part finished development is generally a complete disaster so what procedures did FS have in place to prevent this - looks like none to me. Of course some developers may possibly have siphoned off part of the FS loan series and never intended to finish the development - you never know! Whatever the truth all this is totally inexcusable. I just hope the investors get more than 30% of the £1.625m
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Feb 20, 2020 23:06:02 GMT
One day, the FCA will wake up to the simple fact that a bit of jail time for one or more associated with FS, and one or more associated with several other platforms, will go a V long way to cleaning up P2P, relatively overnight. But, in all honesty, what can you expect from commercial sector rejects who can't think for themselves and only know how to tick boxes. And can't even do that properly. I have said the foregoing so many times now I promise this is the last time, I absolutely despair and am removing the broken record.
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sundown
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Post by sundown on Feb 21, 2020 11:57:24 GMT
not sure : seems a substantial property but if it needs major renovation then I guess 30% of £1.6 viz £480K might be about right - does anybody know what this property was purchased for. I am not in this loan but in related ones so interested to know just what we are dealing with. I thank you. It is a substantial plot in a very desirable area with views across fields to the sea. The land value alone should be more than £480k and anyway it seems to read that the offer was £800k and had been improved on. I wonder why the care provider is no longer interested?
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adrian77
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Post by adrian77 on Feb 21, 2020 12:15:38 GMT
could we insist we get a second opinion on this one - reading the above comments I wonder just how cheap this one is !
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Post by bracknellboy on Feb 21, 2020 13:27:14 GMT
not sure : seems a substantial property but if it needs major renovation then I guess 30% of £1.6 viz £480K might be about right - does anybody know what this property was purchased for. I am not in this loan but in related ones so interested to know just what we are dealing with. I thank you. It is a substantial plot in a very desirable area with views across fields to the sea. The land value alone should be more than £480k and anyway it seems to read that the offer was £800k and had been improved on. I wonder why the care provider is no longer interested?because they are concerned they won't be able to get the care workers they need post Brexit ?
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