michaelc
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Say No To T.D.S.
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Post by michaelc on Mar 3, 2018 23:32:41 GMT
Just noticed that this is only 90sqm. Is it worth anything close to 275K? Or even the loan amount of 190K?
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mikes1531
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Post by mikes1531 on Mar 3, 2018 23:40:06 GMT
But it has lots of character!
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duck
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Post by duck on Mar 4, 2018 9:06:31 GMT
But it has lots of characters involved! ...............
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rogerthat
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Post by rogerthat on Mar 4, 2018 11:09:43 GMT
But it has lots of characters involved! ............... Am I missing something here..the 'tone' of the chat so far suggests a loan is upcoming ?..ive not received and email notification and a quick peek at FS doesn't show anything imminent ?...are you the candle with me being the moth ? 
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duck
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Post by duck on Mar 4, 2018 12:09:38 GMT
Am I missing something here..the 'tone' of the chat so far suggests a loan is upcoming ?..ive not received and email notification and a quick peek at FS doesn't show anything imminent ?...are you the candle with me being the moth ? No the loan being discussed is long defaulted and the borrower is a well known 'name'.
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stub8535
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personal opinions only. Not qualified to advise on investment products.
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Post by stub8535 on Mar 4, 2018 12:36:53 GMT
Just noticed that this is only 90sqm. Is it worth anything close to 275K? Or even the loan amount of 190K? Valuation is more likely to result in less of a loss if this property goes to auction than the other one on anther platform on the same estate. As for its valuation it depends if K.M. produced it probably. I questioned title with platform several times to be told that title to this property is legally good irrespective of any issues with the borrower wrt either of the other 2 properties on the estate. I will believe it when the property is sold and money is returned to me with the interest.
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rogerthat
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Post by rogerthat on Mar 4, 2018 15:37:22 GMT
Am I missing something here..the 'tone' of the chat so far suggests a loan is upcoming ?..ive not received and email notification and a quick peek at FS doesn't show anything imminent ?...are you the candle with me being the moth ? Loan references in thread titles aren't just for new loans, they're for defaulted loans too.  Its all new to me...ive only got the one..and that's the naughty borrower at Coventry  ...touch wood 
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morris
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Post by morris on Apr 16, 2018 16:56:24 GMT
Just noticed that this is only 90sqm. Is it worth anything close to 275K? Or even the loan amount of 190K? No on both counts. It was sold for £137,000, 72% of the loan amount. Loan closed.
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stub8535
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Post by stub8535 on Apr 16, 2018 17:05:17 GMT
Just noticed that this is only 90sqm. Is it worth anything close to 275K? Or even the loan amount of 190K? No on both counts. It was sold for £137,000, 72% of the loan amount. Loan closed. Does anyone know how fs will be capable of repaying anything they recover in the future as a result of their ongoing wonderful processes if the loan has been closed? How do we keep tabs on the recovery?
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IFISAcava
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Post by IFISAcava on Apr 16, 2018 17:42:59 GMT
Am I the only one quite relieved to get 70+% of these loans back?
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Post by munchydave on Apr 16, 2018 17:56:43 GMT
Am I the only one quite relieved to get 70+% of these loans back? Valuations are a joke. I have nothing left now in FS but all the stuff that i cannot sell, as it is not for sale on the SM. I am out and will not be funding any more loans on this site. Lost thousands over two years because i trusted the valuations and the info given by FS. 0% in the bank gives me a better return.
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michaelc
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Post by michaelc on Apr 16, 2018 18:19:19 GMT
On the one hand the recovery is a lot better than had this been an unsecured loan but really the valuation does annoy me.
A completed residential house valued at 275K and sold for 137K. How could it be so far out? I can understand that fields of tower blocks and windmills might be hard to get right but a single, completed 2 bed house?
From the tRICS report:
If offered for sale on the open market, we consider the Lodge House would be of relatively strong appeal and
would sell with relative ease if my valuation figure is ignored and the seller wants only to achieve half of that
Bold - added by me.
Also, since this was marketed, agreed and sold by FS without the consent of lenders, is it possible a deal was done? Are there any other instances where 6 figure assets are sold by an agent who doesn't represent the seller?
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IFISAcava
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Post by IFISAcava on Apr 16, 2018 18:20:34 GMT
Am I the only one quite relieved to get 70+% of these loans back? You got less than 50% of the initial valuation. To me this is a disaster (but if you are happy with that, then I wish you continued 'success' like this in all your investments) With a disastrous default in this estate that got only 30% on LY, I am relieved to get 70%+ here. In context, it represents losing 3% of my interest/gains to date on FS, and is the only crystallised loss to date. I have capital equivalent to another 10% or so of total interest in recovery, and even in the unlikely event I lose all of that I am still way ahead. So I consider getting ~10% returns net of defaults pretty good, thanks for your good wishes. I mean, your snark aside, of course it would be a disaster if all investments ended up like this, but they don't, a few do, and that's p2p. Good luck finding a 13% platform with zero risk of defaults.
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IFISAcava
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Post by IFISAcava on Apr 16, 2018 18:32:29 GMT
On the one hand the recovery is a lot better than had this been an unsecured loan but really the valuation does annoy me. A completed residential house valued at 275K and sold for 137K. How could it be so far out? I can understand that fields of tower blocks and windmills might be hard to get right but a single, completed 2 bed house? From the tRICS report: If offered for sale on the open market, we consider the Lodge House would be of relatively strong appeal and
would sell with relative ease if my valuation figure is ignored and the seller wants only to achieve half of thatBold - added by me. Also, since this was marketed, agreed and sold by FS without the consent of lenders, is it possible a deal was done? Are there any other instances where 6 figure assets are sold by an agent who doesn't represent the seller? We all know that many valuations turn out to be quite a way off, so we are, or should be, armed with caveat emptor. The distressed valuation is always lower, and the difference is likely less if you take that into account (this valuation was for 9 months marketing). There's £10,000 off for Japanese knotweed (see original valuation) Any buyer would know what had happened on the estate, and would drive a hard bargain in what is a buyer's market at the moment. Finally, we don't know the actual sales price, just the net proceeds - there may be a lot of costs to come off whatever the selling price was. May not account for all of the difference, but I think the context is important.
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IFISAcava
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Post by IFISAcava on Apr 16, 2018 18:36:02 GMT
With a disastrous default in this estate that got only 30% on LY, I am relieved to get 70%+ here. In context, it represents losing 3% of my interest/gains to date on FS, and is the only crystallised loss to date. I have capital equivalent to another 10% or so of total interest in recovery, and even in the unlikely event I lose all of that I am still way ahead. So I consider getting ~10% returns net of defaults pretty good, thanks for your good wishes. I mean, your snark aside, of course it would be a disaster if all investments ended up like this, but they don't, a few do, and that's p2p. Good luck finding a 13% platform with zero risk of defaults. I don't fear defaults. This is part of the calculated risk and this is why I stopped investing in unsecured loans long ago. But with secured loans, the valuation is a critical point. In cases where the real sale is less than 50% of the initial valuation i cannot be happy at all. LTV=70% (called conservative by all P2P platforms) was designed to be sure there was enough recovery after sale to recoup in full the loan. Situations where you realise less than 50% of the original valuation (in times of property growth or static) show a total lack of professional work either on the valuation or on the sale side. These are dramatically bad numbers, as we are still in relatively good times for the property sector (imagine what will happen if the housing market drops a few percentage points....). Again, this is a serious warning to lenders. Stay away from people not defending your interests. See my other post - we don't know the actual sales price - perhaps someone can find it out. We can stick to much lower LTVs (and I often do) but not with 12/13% interest.
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...touch wood 