hazellend
Member of DD Central
Posts: 2,361 
Likes: 2,179
|
Post by hazellend on Feb 28, 2017 20:47:37 GMT
I do think PM has potential but it remains the most frustrating of all my investments.  is up with the vacant periods? Their properties are supposedly curated by a team of experts for their good rental potential so how can they remain vacant for so long? It's not just my HMOs that are doing badly, it's normal flats as well. I've invested in Daniel House but I am not touching any properties which are rented to benefit seekers ever again, too unreliable. I am yielding < 2% in a portfolio which had an expected yield of net 8%. I would have been happy with 4 -5 % but month after month the bad news just keeps coming. I doubt anything would sell on the secondary market as mine are older £500/share. Can't wait till the minimum term comes and I can sell, no doubt at a substantial capital loss to the "BMV price they were purchased at". I mean, if nobody wants to rent them why would anybody want to buy them? |
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Mar 1, 2017 17:08:13 GMT
6 months ago I was getting about 5.5% now I am getting about 4%. So returns have reduced quite a bit. I would also have expected costs like boiler insurance etc to go down with more properties they had especially on the newer ones.
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,017
Likes: 1,835
|
Post by littleoldlady on Mar 1, 2017 18:45:34 GMT
I am very disappointed with this platform. They have got nowhere near my hopes and expectations.
I really like the model, which enables investors to have a stake in a wide range of properties without being millionaires. However all depended on PM's skill at identifying properties with growth potential and then managing them as landlords. As to the first there have only been two completions so far and despite claims at launch that they were both bought well below market value they have actually fallen in value over the term. As for their property management skills just a litany of problems.
|
|
damar
Member of DD Central
Posts: 110
Likes: 47
|
Post by damar on Mar 13, 2017 8:33:32 GMT
I am also disappointed with the long vacant periods, luckily I managed to sell all mine, at a loss of course, my biggest complaint is SPV 45, the bank of three terraced houses, supposedly rented at 425 per month each, this has never been reached.
A message was received, telling me that the rent would be increased in January, but for two weeks I have been waiting for someone to come back and confirm this.
Property moose could and should be really good, but the voids are not what I have experienced in letting houses personally.
|
|
|
|
Post by sayyestocress on Mar 13, 2017 9:23:27 GMT
...my biggest complaint is SPV 45, the bank of three terraced houses, supposedly rented at 425 per month each, this has never been reached... It's historically paid out 4.5% yield, so not so bad in my opinion. I am happy to hold onto that one. SPV47 is where my main disappointment lies. It's been advertised/vacant since July 2016, JULY 2016!!!!!!. It has never been tenanted! 0% yield! SPV49 has been vacant since September 2016 (only paid rent once) and SPV50 has been vacant since August 2016 (only paid rent once, 0.42% yield). These three are the lemons of my portfolio, there's likely other trash properties in the PM back catalogue. I accept that void periods are a genuine risk for BTL, but surely PM can do more to get these properties performing. Time will tell whether the more recent properties that haven't been tenanted for their firts couple of months will end up as bad. I remain optimistic and continue to invest, but the longer these bad eggs drag on untenanted the less faith I have in PM to pick good properties with rental demand, the more likely I am to no longer bother with PM BTL.
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,017
Likes: 1,835
|
Post by littleoldlady on Mar 19, 2017 8:26:38 GMT
Have any of you clever guys managed to work out your net yield from this platform (rent only, before any capital gains or losses)? On a back of envelope calculation I make mine under 2% (but I may have messed up) and the only two disposals so far were at a loss.
|
|
ahowlin
Member of DD Central
Posts: 68
Likes: 12
|
Post by ahowlin on Mar 20, 2017 12:09:33 GMT
Have any of you clever guys managed to work out your net yield from this platform (rent only, before any capital gains or losses)? On a back of envelope calculation I make mine under 2% (but I may have messed up) and the only two disposals so far were at a loss. Ignoring capital gains/losses and ignoring PMF C, I am getting 3.77%. The best return I am getting on a property is 6.42% and the worst is 2.74% However the first two properties are resulting in Capital losses albeit I am still positive about the concept. I think PM need to look at what they are buying a bit more carefully. Hopefully they are already doing so!
|
|
adrianc
Member of DD Central
Posts: 8,948
Likes: 4,787
|
Post by adrianc on Mar 20, 2017 13:19:26 GMT
Have any of you clever guys managed to work out your net yield from this platform (rent only, before any capital gains or losses)? On a back of envelope calculation I make mine under 2% (but I may have messed up) and the only two disposals so far were at a loss. 4.22% XIRR.
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,017
Likes: 1,835
|
Post by littleoldlady on Mar 20, 2017 15:49:25 GMT
Thanks both. Do either of you have a spreadsheet I could use to calculate mine?
|
|
adrianc
Member of DD Central
Posts: 8,948
Likes: 4,787
|
Post by adrianc on Mar 20, 2017 17:08:51 GMT
Thanks both. Do either of you have a spreadsheet I could use to calculate mine? Very simple, and it's not just PM-specific. Mine's a one-pager per site, with a summary page going across all sites. Each site's page has a list of pay-ins, date and amount; a list of pay-outs, date and amount, and the current balance with date. Then use the XIRR function. =XIRR(<amounts range>,<dates range>) So... Column A - label text, column B - dates, column C - amounts B1 - balance date, C1 - balance amount (needs to be -ve) B3-B10 - pay-in dates, C2-C10 - pay-in amounts B12-B15 - pay-out dates, C12-C15 - pay-out amounts (-ve) Then a cell with =XIRR(B1:B15,C1:C15), formatted as %age. I'm using LibreOffice, but Excel's going to be the same. My pay-in/-out are ONLY to-and-from the site/my bank account. Cash drag on the site then brings the rate down.
|
|
kulerucket
Member of DD Central
Posts: 336
Likes: 93
|
Post by kulerucket on Jul 5, 2017 8:19:16 GMT
I do something similar but I use two rows and don't keep a list of individual payments, because I'm only interested in the current yield between start and end and not a running XIRR.
A1: Date bought; B1: Price at purchase
A2: Date of update; B2: Projected Value + Rental Income at date of update
=XIRR(B1:B2, A1:A2)
I think that this would give the same value as tracking all payments in between because the net result is exactly the same.
|
|
is up with the vacant periods? Their properties are supposedly curated by a team of experts for their good rental potential so how can they remain vacant for so long?
