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Post by scepticalinvestor on Nov 29, 2020 0:08:25 GMT
The similar sized 2-bed 1-bath flat in the same building (albeit a 3rd floor flat as opposed to PP's basement flat) that was on for 650k has now gone under offer, so that's a good sign I suppose. www.rightmove.co.uk/properties/84820417#/
It's the keenest priced amongst the four 2-beds for sale in that building. Let's see how quickly it goes. Surveyor said vacant possession £570k and tenanted £540k, so if it sells at, say, 95% of asking price I'd be very happy! Less than 90%, less so!
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Post by scepticalinvestor on Dec 4, 2020 19:00:55 GMT
Reduced to 575k today. The similar sized 2-bed 1-bath flat in the same building (albeit a 3rd floor flat as opposed to PP's basement flat) that was on for 650k has now gone under offer, so that's a good sign I suppose. www.rightmove.co.uk/properties/84820417#/Surveyor said vacant possession £570k and tenanted £540k, so if it sells at, say, 95% of asking price I'd be very happy! Less than 90%, less so!
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Post by andrewrt on Jan 8, 2021 22:09:58 GMT
Reduced to 575k today. The similar sized 2-bed 1-bath flat in the same building (albeit a 3rd floor flat as opposed to PP's basement flat) that was on for 650k has now gone under offer, so that's a good sign I suppose. www.rightmove.co.uk/properties/84820417#/Reduced today to £550k. Not looking good.
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Post by scepticalinvestor on Jan 9, 2021 13:11:58 GMT
Reduced today to £550k. Not looking good. The timing is really bad isn't it. Central London, will miss the stamp duty deadline, not a lot of landlord interest most likely, etc. At least PP is alright whatever price it eventually gets or however long it stays empty, I presume the AUM fee is still accruing in the background.
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Post by andrewrt on Feb 13, 2021 21:27:06 GMT
Reduced today to £550k. Not looking good. The timing is really bad isn't it. Central London, will miss the stamp duty deadline, not a lot of landlord interest most likely, etc. At least PP is alright whatever price it eventually gets or however long it stays empty, I presume the AUM fee is still accruing in the background. One way this could play out is if this clause comes into play: "if the best offer for the property is more than 5% below the surveyor’s valuation [£570k], shareholders will be given a further vote." 5% below means £541,500. Given it's on at £550,000 i think it's likely that the best offer will be less than this. Let's say the selling price is 540,000, that would value the shares at about 51p once you take off the corporation tax, less any extra they've spent whilst the property has been empty. What would shareholders do? It's higher than it's traded since May so I suspect may would be happy to sell and take the cash. However, there's a chance (particularly if the same price is much lower than £540k) that people would just opt to hold tight, thinking that the market might have improved by 5 years and, if not, at least it can be relet and will tread water.
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Post by scepticalinvestor on Mar 14, 2021 21:41:49 GMT
Whitechapel's been pulled. It was valued at 570k in September 2020 and since then....
"Boyd Street, Whitechapel has been marketed for sale since November 2020 as part of the 5-year anniversary process. Since that time we have only had two viewings and no offers from potential buyers in spite of two price drops, from an asking price of £595,000 to £575,000 initially, then to £550,000 at the start of January."
So that valuation was pretty worthless.
The valuation now shows as £530k, not sure what that's based on?
I've voted to continue the sales process (minimum price to be achieved 480k) but I think I'll end up in the minority. Let's see.
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Post by longjohn on Mar 15, 2021 15:31:24 GMT
One of 5 flats in Dutch Quarter -
Bought May 2016 £174,000 inc costs = £185,592
Latest valuation (no date) £195,000 (vacant or tenanted)
Firm offer received Feb 2021 £170,000 less expected sale costs = £164,920
Shall we sell? Average prices in the area are 20% up on 2016 values.
82% say Yes. Accept loss of £20,672
So much for bulk buying then selling individually to maximise profits.
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Post by scepticalinvestor on Mar 15, 2021 19:36:58 GMT
One of 5 flats in Dutch Quarter -
Bought May 2016 £174,000 inc costs = £185,592
Latest valuation (no date) £195,000 (vacant or tenanted)
Firm offer received Feb 2021 £170,000 less expected sale costs = £164,920
Shall we sell? Average prices in the area are 20% up on 2016 values.
82% say Yes. Accept loss of £20,672
So much for bulk buying then selling individually to maximise profits.
Ugh, that is disgusting. These valuations aren't worth the paper they're not printed on. Not that the Whitechapel flat is going to end up any better. I'd rather sell and be rid of it though. PP are shyte at letting, shyte at selling.
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Post by overthehill on Sept 1, 2021 13:45:57 GMT
I'll be lucky to escape with any return after 5 wasted years despite a number of proactive and mitigating actions by myself over the last 2 years.
Yet another 2 properties abruptly lose 10% of their value at the start of the 5 year exit process.
Just as well the housing market has been strong and delivering returns giving PP somewhere to hide their poor operational performance with excessive and unaligned fees. Another unknown factor is they've yet to sell a whole multiple unit property.
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Post by overthehill on Oct 1, 2021 14:58:48 GMT
I'll be lucky to escape with any return after 5 wasted years despite a number of proactive and mitigating actions by myself over the last 2 years.
Yet another 2 properties abruptly lose 10% of their value at the start of the 5 year exit process.
Just as well the housing market has been strong and delivering returns giving PP somewhere to hide their poor operational performance with excessive and unaligned fees. Another unknown factor is they've yet to sell a whole multiple unit property.
Some things are not getting 'Better' just yet. My 5 year exit property for this month also loses 10% of its share valuation overnight, despite earlier drops as well. Still riding that downward curve to eventually get out with zero profit after 5 years.
Amazingly one of my properties actually sold its 5 year exit share allocation at par despite being available beforehand at 10% discount and looking very lonely at 1% sold last I looked. Had to be cherry picked by Better or another institutional investor. Good luck to them.
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Post by overthehill on Feb 28, 2022 22:26:49 GMT
I think the reality and illusion of the 5 year exit is starting to loom large for investors. Property Partner are about as good at selling property as they are at buying, renting and maintaining it. It's a brilliant business model where their income is unrelated to property performance or investor income. I'm not sure what they are actually doing considering the frequency of updates and the amount of 3rd party charges being subtracted from the gross dividends.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
Posts: 10,845
Likes: 11,072
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Post by ilmoro on Feb 28, 2022 22:49:36 GMT
I think the reality and illusion of the 5 year exit is starting to loom large for investors. Property Partner are about as good at selling property as they are at buying, renting and maintaining it. It's a brilliant business model where their income is unrelated to property performance or investor income. I'm not sure what they are actually doing considering the frequency of updates and the amount of 3rd party charges being subtracted from the gross dividends.
New issue now involving HMRC problems preventing return if funds from sold properties. Paying 3% interest on tied up funds until resolved
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jester
Member of DD Central
Posts: 161
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Post by jester on Mar 1, 2022 21:57:27 GMT
I haven't had any properties start their 5yr exit listing yet but my portfolio performance is a shambles. Everytime I get any return it's instantly wiped out again by valuation drops ..... do their properties only ever DEvalue? After almost 5yrs on investing my portfolio has lost -£2.55 PITIFUL! It's only that "good" due to £200+ in promotions
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Post by overthehill on Mar 2, 2022 10:44:47 GMT
I haven't had any properties start their 5yr exit listing yet but my portfolio performance is a shambles. Everytime I get any return it's instantly wiped out again by valuation drops ..... do their properties only ever DEvalue? After almost 5yrs on investing my portfolio has lost -£2.55 PITIFUL! It's only that "good" due to £200+ in promotions
Stop banging my drum. It was the grand illusion shattered by sudden unthinkable charges, I don't even remember if they offered investors a waived charge way out. I do remember that the announcement and it's effect was very well disguised.
Generally, I wouldn't consider this type of investment anywhere again, certainly not at PP's mode and level of charges, it seems the perfect antidote to the hassle of BTL but there are still too many unknowns and too many snouts in the trough.
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Post by c0nfuzed on Mar 13, 2022 19:01:29 GMT
I think the reality and illusion of the 5 year exit is starting to loom large for investors. Property Partner are about as good at selling property as they are at buying, renting and maintaining it. It's a brilliant business model where their income is unrelated to property performance or investor income. I'm not sure what they are actually doing considering the frequency of updates and the amount of 3rd party charges being subtracted from the gross dividends.
New issue now involving HMRC problems preventing return if funds from sold properties. Paying 3% interest on tied up funds until resolved The HMRC confusion (if that's really what's going on) is a real worry. How, at this stage, can they not know how the 5 year sale mechanic works?
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