ben
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Post by ben on Apr 20, 2016 17:10:08 GMT
The question is, do we trust the site on not. It is not FS doing the valuation it is a private company and they have stated that they have not valued it with PP, hope etc then in there showing of how they came to valuation they compared it to apartments for sale in the area. Until PP is granted they can not build apartments so the valuation is worthless, it is like me saying I intend to build a tennis court and swimming pool but have not built it and do not have permission but the house down the road has these so the value of my property must be the same when I want to sell
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Post by earthbound on Apr 21, 2016 9:30:21 GMT
Funding of this hotel now virtually at a stand still. Welsh hotels not very popular at the moment.
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mikes1531
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Post by mikes1531 on Apr 22, 2016 17:35:46 GMT
I don't believe it! Well, actually, I'm afraid I do.
At 1820 on a Friday evening, FS have announced that the borrower wants to draw down this loan on Monday, so they're offering bonuses for investments of £25k or more.
I wish them luck.
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Post by mrclondon on Apr 22, 2016 17:38:47 GMT
To keep the discussion on a single thread, I'm copying in FS's post, and locking the new thread they created.
BONUSES NOW AVAILABLE All legals have now been completed and the borrower wishes to draw down the loan on Monday. The loan will therefore pay interest from Monday 25th April and bonuses will be offered as follows: Base Interest 12% pa Bids of £25,000 or more +1% = 13% pa Bids of £50,000 or more +2% = 14% pa Bids of £100,000 or more +4% = 16% pa Bonuses apply to existing bids as well as new bids. More Details
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stevio
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Post by stevio on Apr 22, 2016 18:40:15 GMT
Maybe if they just got an accurate valuation
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Post by profunder on Apr 22, 2016 20:32:35 GMT
Maybe if they just got an accurate valuation I'll give you an accurate valuation: Clearly previously the property was owned by a disabled charity. They tried to sell the property on condition the new owners continued to run a disabled hotel. No sale found. The property was released for sale to the general market and sold 3 months and 10 days ago. This is in the public domain. I would think this represents a fair market value in its current condition. From Title Register at Land Registry: So the loan amount is £852,000 and the actual sold price is £1,100,000. This is a LTV of 77.45%. There is a personal guarantee for £383k which is not worth much. Interest is 16% and I'm sticking at least 100k in. Now stop the squabbling, download the title from land registry for £3 <snipped by mod> if you don't believe me and start earning interest. Cheers - Rant over!
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Post by mrclondon on Apr 22, 2016 21:00:40 GMT
profunder - thanks for that interesting insight.
Unfortunately I'm simply too risk averse to put even £25 into this, I find it hard to believe it will be worth much more than £500k if planning for change of use is refused. (I'm quite content though to watch others become rich taking on such gambles)
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mikes1531
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Post by mikes1531 on Apr 22, 2016 21:30:53 GMT
So the loan amount is £852,000 and the actual sold price is £1,100,000. This is a LTV of 77.45%. There is a personal guarantee for £383k which is not worth much. Interest is 16% and I'm sticking at least 100k in. Now stop the squabbling, download the title from land registry for £3 <snipped by mod> if you don't believe me and start earning interest. Cheers - Rant over! profunder - thanks for that interesting insight.
Unfortunately I'm simply too risk averse to put even £25 into this, I find it hard to believe it will be worth much more than £500k if planning for change of use is refused. (I'm quite content though to watch others become rich taking on such gambles) I'm with mrclondon on this one. 16% is attractive, and if I could get that I might invest. But since I'm not willing to expose £100k to the risk, 16% isn't on offer to me. I'll leave the funding to those who are happy to take the risk on a large sum. In light of the info about the recent sale, I have to wonder about the person who bought it in January and is selling it now. What is FS's borrower paying? Or was the January purchaser the borrower?
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Post by profunder on Apr 22, 2016 21:43:49 GMT
profunder - thanks for that interesting insight.
Unfortunately I'm simply too risk averse to put even £25 into this, I find it hard to believe it will be worth much more than £500k if planning for change of use is refused. (I'm quite content though to watch others become rich taking on such gambles) Nobody gets rich taking on P2P, it's a slow income. But having checked my facts, checked the borrower, seen his declared occupation and council appointments I firmly believe his planning will be granted. I admit there may be a red flag with the listed valuation, but I suspect they know each other and got a discount fee to complete it. In any case I'm ignoring the listed valuation and using the sold price. The borrower is using a PG and already has finance on the property, but reading the company debenture it does not permit development of the property. So this loan makes sense and the reason is also clear. I see no reason for the refinance, other than genuine development. I know I seem to be on my own here, but I've put my money where my mouth is.
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Post by profunder on Apr 22, 2016 21:48:01 GMT
In light of the info about the recent sale, I have to wonder about the person who bought it in January and is selling it now. What is FS's borrower paying? Or was the January purchaser the borrower? It appears to be a refinance to allow development (and probably release funds for the development). Clearly the borrower is putting their own money at risk.
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stevio
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Post by stevio on Apr 23, 2016 5:15:05 GMT
Maybe if they just got an accurate valuation I'll give you an accurate valuation: Clearly previously the property was owned by a disabled charity. They tried to sell the property on condition the new owners continued to run a disabled hotel. No sale found. The property was released for sale to the general market and sold 3 months and 10 days ago. This is in the public domain. I would think this represents a fair market value in its current condition. From Title Register at Land Registry: So the loan amount is £852,000 and the actual sold price is £1,100,000. This is a LTV of 77.45%. There is a personal guarantee for £383k which is not worth much. Interest is 16% and I'm sticking at least 100k in. Now stop the squabbling, download the title from land registry for £3 <snipped by mod> if you don't believe me and start earning interest. Cheers - Rant over! Putting 100k in any one loan is extremely risky. Bonuses come up frequently and often on less questionable loans.
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SteveT
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Post by SteveT on Apr 23, 2016 8:53:29 GMT
That depends how many millions one has to invest
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Post by profunder on Apr 23, 2016 9:13:41 GMT
That depends how many millions one has to invest Yes and when the $650 million from my dearly beloved dead uncle is transferred into my current account By Mr. U. Hava Skruloose of the Nigerian Federal Bank, I'm going to bang in a few hundred thousand. Don't know what's taking so long to transfer the money as I gave them all my details a week ago. Was it not a confidential transaction? Don't you know this is a public board.
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mikes1531
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Post by mikes1531 on Apr 23, 2016 11:31:37 GMT
Bonuses come up frequently and often on less questionable loans. I would have thought they'd be most likely on more questionable loans.
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ben
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Post by ben on Jul 26, 2016 17:24:15 GMT
Looks like this one is back for a few more pennies and planning permission has still not be obtained.
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