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Post by Deleted on Nov 6, 2019 17:34:45 GMT
I don't think there is anything stopping you requesting regular ISA transfers eg every month if you have sufficient money in RS to warrant it. In providing an ISA, they sign up to allowing transfers in and out as requested, although I think they can impose a limit eg >1k. I managed to find some HMRC guidelines for providers a while back and it's probably still available with some Googling.
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sd2
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Post by sd2 on Nov 6, 2019 23:31:24 GMT
I don't like the look of that. Moving into a saturated market (property) On the other hand is just something short term? Could you tell me where I find this information? I don't like this either. Entering the property market loans at the end of the cycle is a bad idea. I hope that they are not naive and don't trust the valuations. It is easy to lend money for big and illiquid properties, getting them all back is much more difficult. To be honest I am thinking of pulling my money. There is very little visibility what property loans they are taking on and RS messed up in the past expanding too quickly into markets they had no much experience in. I will keep an eye those figures. If the property part gets to large I am out. As you said lack of visibility.
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sd2
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Post by sd2 on Nov 6, 2019 23:37:52 GMT
With approaching a 3rd of new lending being directed at large property loans we may actually see short term rate peaks increase. Property loans portfolio is steadily increasing and new lending has risen well beyond 1/3rd now: October's statement confirms 43% written up this period (past 3 months). If wanted property loans I would go to the appropriate P2P and it wouldn't be ratesetter, specially as there is no visibility. Unlike a property P2P
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jlend
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Post by jlend on Nov 7, 2019 6:34:12 GMT
Property loans portfolio is steadily increasing and new lending has risen well beyond 1/3rd now: October's statement confirms 43% written up this period (past 3 months). If wanted property loans I would go to the appropriate P2P and it wouldn't be ratesetter, specially as there is no visibility. Unlike a property P2P RS have been doing property development loans since 2014 and have done 700m worth of loans since then, with 170m outstanding. To date the PF has not had to pay out for a property development loan. Of course past performance is no guarantee of how things will work out in the future, but that is a pretty good record and they have experience of how to successfully select, manage and exit a reasonable number of property loans now.
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robski
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Post by robski on Nov 7, 2019 10:01:19 GMT
If wanted property loans I would go to the appropriate P2P and it wouldn't be ratesetter, specially as there is no visibility. Unlike a property P2P RS have been doing property development loans since 2014 and have done 700m worth of loans since then, with 170m outstanding. To date the PF has not had to pay out for a property development loan. Of course past performance is no guarantee of how things will work out in the future, but that is a pretty good record and they have experience of how to successfully select, manage and exit a reasonable number of property loans now. Fair points I think, plus of course depending on your own lending in 1 year you could be more or less heavily invested in property compared to the platform average It makes you wonder how RS are seemingly outperforming the rest of P2P in regards property. Are maybe some of the ones RS rejects the ones a lot of the others are happy to write maybe
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Post by propman on Nov 7, 2019 10:47:05 GMT
Fair points I think, plus of course depending on your own lending in 1 year you could be more or less heavily invested in property compared to the platform average It makes you wonder how RS are seemingly outperforming the rest of P2P in regards property. Are maybe some of the ones RS rejects the ones a lot of the others are happy to write maybe However the PF operation effectively means all investors are proportionally exposed to all loans.
The RS loans are paying the lenders about 5%, even after the PF contribution, this is much lower than most of its competitors in P2P, so it can afford to lend at much lower APRs and so it shpuld be able to be much more picky.
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Post by Deleted on Nov 7, 2019 10:49:01 GMT
Fair points I think, plus of course depending on your own lending in 1 year you could be more or less heavily invested in property compared to the platform average Agreed, but experience is shared across all lenders ie even if you don't invest in the 1 year market, you still have property exposure.
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sb
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Post by sb on Nov 7, 2019 10:56:56 GMT
If wanted property loans I would go to the appropriate P2P and it wouldn't be ratesetter, specially as there is no visibility. Unlike a property P2P RS have been doing property development loans since 2014 and have done 700m worth of loans since then, with 170m outstanding. To date the PF has not had to pay out for a property development loan. Of course past performance is no guarantee of how things will work out in the future, but that is a pretty good record and they have experience of how to successfully select, manage and exit a reasonable number of property loans now. I guess these numbers come from your analysis of the RS loan book. No losses on a few hundred of loans looks very suspicious to me, especially when you take into account that they are involved in development loans. It is hard to find on what projects they lend exactly. The only news I've found was about them funding loans on other property platforms, Wellesley and Archover. www.thetimes.co.uk/article/peer-to-peer-lender-placed-loans-via-its-rivals-n2nxvsmg6
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robski
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Post by robski on Nov 7, 2019 11:21:32 GMT
Fair points I think, plus of course depending on your own lending in 1 year you could be more or less heavily invested in property compared to the platform average It makes you wonder how RS are seemingly outperforming the rest of P2P in regards property. Are maybe some of the ones RS rejects the ones a lot of the others are happy to write maybe However the PF operation effectively means all investors are proportionally exposed to all loans.
The RS loans are paying the lenders about 5%, even after the PF contribution, this is much lower than most of its competitors in P2P, so it can afford to lend at much lower APRs and so it shpuld be able to be much more picky.
True, if RS carried on in normal operation, then maybe an interest haircut would indeed affect all, to prop up the fund. I was kind of thinking from the more serious angle of really bad times in the business, under those circumstances I figured that the 1 year would become more toxic since it was all property so being able to sell out from that would be nigh on impossible. Where as the others would likely still see some liquidity, or if not higher rates. Really tricky to speculate in reality
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robski
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Post by robski on Nov 7, 2019 11:22:07 GMT
However the PF operation effectively means all investors are proportionally exposed to all loans.
The RS loans are paying the lenders about 5%, even after the PF contribution, this is much lower than most of its competitors in P2P, so it can afford to lend at much lower APRs and so it shpuld be able to be much more picky.
True, if RS carried on in normal operation, then maybe an interest haircut would indeed affect all, to prop up the fund. I was kind of thinking from the more serious angle of really bad times in the business, under those circumstances I figured that the 1 year would become more toxic since it was all property so being able to sell out from that would be nigh on impossible. Where as the others would likely still see some liquidity, or if not higher rates. Really tricky to speculate in reality The notice RS put out about the Q&As contained some if not all of what he quoted.
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scc
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Post by scc on Nov 7, 2019 11:22:39 GMT
P2P companies providing loans to other P2P companies. What could possibly go wrong?
My slow exit from ratesetter continues.
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sd2
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Post by sd2 on Nov 7, 2019 12:54:19 GMT
If wanted property loans I would go to the appropriate P2P and it wouldn't be ratesetter, specially as there is no visibility. Unlike a property P2P RS have been doing property development loans since 2014 and have done 700m worth of loans since then, with 170m outstanding. To date the PF has not had to pay out for a property development loan. Of course past performance is no guarantee of how things will work out in the future, but that is a pretty good record and they have experience of how to successfully select, manage and exit a reasonable number of property loans now. "Of course past performance is no guarantee of how things will work out in the future," That's the bit that worries me, property does go down in value, moreover there can be a long bear market in the housing market. Although my main worry is not the amount of money they lend to developers it's the percentage. Happy(ish) with 30% but not the significant increase lately, maybe a one off as someone suggested. On the other hand! There hasn't been a significant increase in prices for a while.....mainly because the young just can't get on the property ladder. The following is example of what can happen in the property market. My neighbor sold his house., then we had Brexit vote the buyers pulled out because house prices might fall. They were going to wait and see. This is an example of just how stupid some (maybe even the majority) can be. they were downsizing. Thick or what?
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