jcm9000
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Post by jcm9000 on Jan 15, 2020 14:10:34 GMT
Brief update on the site for this one.
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7d7
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Post by 7d7 on Jun 9, 2020 11:16:04 GMT
Although our borrower received close to £1.5m from FS, the latest update indicates they wish to settle with an offer that is a third of the above amount. In other words, the borrower would pocket approximately £1m.
Should the JA permit or encourage such practice? While it might be the best offer, there seems to be a steady stream of borrowers offering to settle on the cheap.
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adrian77
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Post by adrian77 on Jun 9, 2020 12:41:33 GMT
Why not put this one to auction with a reserve equal to the offered price - it goes above this then it sells at auction - what's the problem
I said this one would be a disaster,...I wish I could borrow shy of £1.4m default and then pay back £0.5m. ?
Also I forget the legal term but I am sure if sold to the borrower FS/administrators can retain an interest in this one so if re-sold then some of the money can be recovered?
To simply write off about £1m smackers and then be told "thank you and good night" would I suspect be a tad annoying for most of us....
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iRobot
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Post by iRobot on Jun 9, 2020 12:50:03 GMT
Why not put this one to auction with a reserve equal to the offered price - it goes above this then it sells at auction - what's the problem
<snip> Not sure I'd call it a problem as such, maybe more of 'a consideration' It goes to auction and doesn't sell - there'll be fees (auctioneers, legal, administrators) It goes to auction and doesn't sell - the offered price is suddenly dropped to whatever the highest bid was at auction. Not saying there's no potential upside, just that there is equal potential for downside. (Possibly greater potential for downside, given the details provided in the update)
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adrian77
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Post by adrian77 on Jun 9, 2020 13:13:22 GMT
True but considering the offered price is so far south of the FS valuation I think it is worth the risk - the Liverpool auction for N*****ton Drive pulled in a good result - besides I don't want to see this borrower in effect being given about £1m of our money! The borrower may increase his offer with the auction threat - you never know..
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arby
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Post by arby on Jun 9, 2020 14:32:00 GMT
True but considering the offered price is so far south of the FS valuation I think it is worth the risk - the Liverpool auction for N*****ton Drive pulled in a good result - besides I don't want to see this borrower in effect being given about £1m of our money! The borrower may increase his offer with the auction threat - you never know.. Always a possibility, but I'd be surprised if the highest offer wasn't communicated to all interested parties to see if anyone wanted to increase their offer so most of the main players interested clearly won't be increasing their offer further at auction.
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adrian77
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Post by adrian77 on Jun 9, 2020 16:57:26 GMT
yes and no - believe me there is little loyalty between developers if they sense a bargain - I have not inspected this site but really interested to know what is going on here and why the offer is so far short of the valuation. And no I am not saying this property has been "ringed" although I have come across this sort of dastardly deed...
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iRobot
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Post by iRobot on Oct 29, 2021 17:57:39 GMT
15/09/2021 - The property has been listed for auction with Allsop on 30 September 2021, with a guide price of £350,000. It is understood that pre-auction offers have been received however, there will be no offers accepted prior to the auction. An update following the auction will be provided accordingly. 29/10/2021 - On 30 September 2021, the property sold at auction for the sum of £712,000 and the required deposit was received. Completion was anticipated for 28 October 2021; however, completion did not take place. A notice to complete has therefore been served on the borrower. A further update will be provided once available. (I'm presuming that 'borrower' should read 'buyer' in the second update! (But maybe not!! )
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iRobot
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Post by iRobot on Jan 31, 2022 20:41:49 GMT
31/01/2022 - "Following the serving of the Notice to Complete, the buyer failed to do so and contracts were rescinded. The deposit of £71,200 was therefore forfeited and the net amount, less costs (being £29,750) has been received by the Joint Administrators. Receivers re-entered the property to auction in December 2021, and a sale of £506,000 was achieved, with the necessary deposit being received by the auctioneers. However, the receivers have advised that the purchase has again failed to complete, and solicitors have therefore served a Notice to Complete on the buyer. Should the sale fail to complete by the deadline, the deposit will be retained and the receivers will look to enter the property into auction for a third time, and a view of any potential claims against the failed buyers in respect of any deflated sale price will be considered."
I don't think I am unrealistic when it comes to professional fees nor how quickly they can accumulate when things don't go to plan but, even so, the thick end of £30k does seem a mighty large sum to have deducted in fees given the requirement / action taken.
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adrian77
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Post by adrian77 on Feb 1, 2022 12:22:51 GMT
seems a lot to me as well - I am very worried about this one failing to complete on 2 occasions once sold - I wonder if there is something else going on here ....
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