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Post by alexp2p on Sept 15, 2019 10:28:07 GMT
Any opinions about the new loan?
1. How realistic is it to sold the property to the market value or to rent it for the proposed rental value. 2. An other concern is that the borrower is also involved in two other loans.
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Post by uksoul on Sept 15, 2019 20:27:20 GMT
Any opinions about the new loan? 1. How realistic is it to sold the property to the market value or to rent it for the proposed rental value. 2. An other concern is that the borrower is also involved in two other loans. They are involved with 2 0ther loans on Proplend? It's not written on the brief loan info page.
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sapphire
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Post by sapphire on Sept 15, 2019 20:30:24 GMT
Page 4 of the Full loan request provides info on this point.
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p2pfan
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Post by p2pfan on Sept 15, 2019 21:10:11 GMT
I also noticed that about the borrower. That doesn't make me comfortable.
The valuation on the property seems overly optimistic for what is a very small bungalow without a front garden and a pokey back garden - as the valuation report emphasises. Therefore, considering other factors too, a more realistic LTV would be 80% and considering the mega-bucks administrators and lawyers syphon off for themselves in cases of default, I'll be giving this one a miss.
Other ones hopefully launching this month under the 'Pending' queue are ones I am personally eagerly awaiting and keeping my funds set aside for e.g. B******** Res***** is prime London real estate that's already generating cash from seven different AST tenants.
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liso
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Post by liso on Sept 15, 2019 21:48:15 GMT
Restriction on the title identified in the legal report, and 2 additional loans, one 3 months overdue for repayment, don't sit well with me.
The rates offered to lenders are higher than would normally be expected for a property of this type undergoing light refurbishment, so appear to reflect an increased risk.
Tranche A maybe.
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Post by uksoul on Sept 15, 2019 22:49:37 GMT
Page 4 of the Full loan request provides info on this point. Thanks for that. Im surprised Proplend did not mention the other loans as usual on the initial investment page. I have the other 2 loans with the overdue one to be paid back this week. This loan has 12mths interest on reserve for 9mths period which is a plus. I will probably take a nibble.
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p2pfan
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Post by p2pfan on Sept 16, 2019 11:08:11 GMT
Doesn't bode well considering that they still haven't paid off their other loan via PL and it is months overdue. As liso has commented, these high risk factors explains why the loan is paying higher interest than others. Update: Removed information which I now understand is inaccurate misreading of one of the documents. My apologies.
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sapphire
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Post by sapphire on Sept 16, 2019 11:37:55 GMT
I took a look at the legal document and was surprised to see that the borrowers were bankrupts! That's why they were borrowing via a P2P platform, as no mainstream lender would touch them with a barge pole. Doesn't bode well considering that they still haven't paid off their other loan via PL and it is months overdue. I do think that PL should disclose such matters in the general information page about a loan on their website rather than it being hidden away in attached documents (in the case of the "Bankruptcy", it's on page 10 of a 13 page long convoluted document). As liso has commented, these high risk factors explains why the loan is paying higher interest than others. Are you referring to the "Bankruptcy" *search* entry on Page 10 of the "Legal Report & Property Summary"? Page 2 of this document does note that "Clear Bankruptcy Search(es)" are held. Also in the "Full Loan Request" it is stated that the applicant has a net worth of £25m+
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Post by proplend on Sept 16, 2019 11:52:41 GMT
I took a look at the legal document and was surprised to see that the borrowers were bankrupts! That's why they were borrowing via a P2P platform, as no mainstream lender would touch them with a barge pole. Doesn't bode well considering that they still haven't paid off their other loan via PL and it is months overdue. I do think that PL should disclose such matters in the general information page about a loan on their website rather than it being hidden away in attached documents (in the case of the "Bankruptcy", it's on page 10 of a 13 page long convoluted document). As liso has commented, these high risk factors explains why the loan is paying higher interest than others. Thank you for the posts by other forum users correcting these wildly inaccurate claims. Page 10 of the report refers to bankruptcy searches - which we carry out on all borrowers on the morning of drawdown. It covers the period between 17/09 and 26/09, showing who has been checked. In this case both the buyer and seller of the property. We have been working with the borrower in the background and the outstanding loan was indeed repaid in full this morning. We suggest you remove or edit this post to avoid misleading others.
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liso
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Post by liso on Sept 16, 2019 12:18:18 GMT
I do think that PL should disclose such matters in the general information page about a loan on their website rather than it being hidden away in attached documents To be fair, PL is generally transparent about any adverse factors, and tend not to sugarcoat their loans, unlike some other platforms! The information may not be highlighted on the front page but is usually there in the accompanying documentation for lenders to read if they wish.
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Post by proplend on Sept 16, 2019 12:33:22 GMT
uksoul and liso - can I just double-check that you are aware that there is no bankrupty here?
All we are disclosing in the report is that our usual bankruptcy searches were completed. Having come back negative, page 10 seems as reasonable a page as any to disclose the search.
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liso
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Post by liso on Sept 16, 2019 13:21:04 GMT
Apologies, perhaps I should have been clearer. proplendYes, I know there is no bankruptcy which is why I deleted that part of the quoted post. I was making a general point in PL's favour - at least that was my intention! - about PL's transparency.
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Post by uksoul on Sept 16, 2019 14:14:52 GMT
uksoul and liso - can I just double-check that you are aware that there is no bankrupty here?
All we are disclosing in the report is that our usual bankruptcy searches were completed. Having come back negative, page 10 seems as reasonable a page as any to disclose the search. No probs regarding the bankruptcy searches.I understand there is no bankruptcy. Thanks for the clarification.
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