|
Post by highlandtiger on Jan 13, 2016 15:07:24 GMT
This should explain it better, with all costs, as far as I can see, (as taken from the PP website) As you can see, it improves the rental yield slightly, but gives major improvements in capital yield as we have discussed previously. Therefore by borrowing money yeilds can significantly improve. As they have noted on PP, this will only occur on certain types of properties and only while rents are high enough to cover mortgage costs
|
|
|
Post by Financial Thing on Jan 13, 2016 17:34:01 GMT
What are views on the new Eastbourne Property offered? Not sure I like the numbers.
|
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Jan 13, 2016 18:13:40 GMT
What are views on the new Eastbourne Property offered? Not sure I like the numbers. The numbers are not as good as the other ones will probably go for the new PM one instead as do not really want both and that one seems to be a little better
|
|
|
Post by highlandtiger on Jan 13, 2016 18:52:35 GMT
What are views on the new Eastbourne Property offered? Not sure I like the numbers. I think they are ok. The previous property was offered with a 4.95% dividend and with a HPI indicating a capital rise of 5.5%. Giving a rough total of 10.45% This new property has a lower dividend of 3.48%, but with a HPI of 7.3%. A total of 10.78%. Ok, we'd all like the guaranteed higher rental dividend, but the whole package looks fine to me.
|
|
hazellend
Member of DD Central
Posts: 2,361
Likes: 2,179
|
Post by hazellend on Jan 13, 2016 18:54:08 GMT
What are views on the new Eastbourne Property offered? Not sure I like the numbers. I think they are ok. The previous property was offered with a 4.95% dividend and with a HPI indicating a capital rise of 5.5%. Giving a rough total of 10.45% This new property has a lower dividend of 3.48%, but with a HPI of 7.3%. A total of 10.78%. Ok, we'd all like the guaranteed higher rental dividend, but the whole package looks fine to me. I think this one looks very good too.
|
|
j
Member of DD Central
Penguins are very misunderstood!
Posts: 2,188
Likes: 540
|
Post by j on Jan 13, 2016 21:56:28 GMT
Some useful articles on PP's blog section on their website
|
|
hazellend
Member of DD Central
Posts: 2,361
Likes: 2,179
|
Post by hazellend on Jan 15, 2016 20:44:46 GMT
"We're paying £925,000 for the unbroken block, versus an RICS certified aggregate vacant possession valuation of £1,100,000. Owing to the effects of gearing, and if the property valuation remains unchanged for the 3 months following purchase completion on February 3rd 2016, investors will see a 28.5% increase from 51.84p to 66.63p, after the 3-monthly Chartered Surveyors valuation."
Seems like nice profit baked into the eastbourne property. Even if sold at a discount in 3 months time. Of course we may be on the cusp of a looming global financial catastrophe but I can't stop partying.
|
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Jan 15, 2016 21:40:29 GMT
With the PM reducing the amount as min bid on theirs I have gone for both altough will more into this one then the new PM one as more heavily invested in there
|
|
|
Post by highlandtiger on Jan 16, 2016 9:54:45 GMT
With the PM reducing the amount as min bid on theirs I have gone for both altough will more into this one then the new PM one as more heavily invested in there The problem I have with PM and others such as HC, is the lack of a secondary market. And my main rule for ALL of my investments is that there must be the ability to exit at a time of MY choosing. So a secondary market is a must for me.
|
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Jan 16, 2016 11:21:10 GMT
I agree that is a big negative for it, I think with the way it is going a secondary market will come now. I think they are going to head towards the PP model more. That being said I am quite happy to leave the money in there for the full term but I understand for some that this is not ideal.
|
|
|
Post by Financial Thing on Jan 17, 2016 13:33:54 GMT
From my understanding in order for these platforms to gain full FCA authorization, they have to provide a secondary market so hopefully in the not too distant future.
|
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Jan 17, 2016 18:33:20 GMT
Suppose will see how popular this one is tomorrow I pre-ordered same amount on this one got 75% on last one, expecting to get about the same on this one
|
|
hazellend
Member of DD Central
Posts: 2,361
Likes: 2,179
|
Post by hazellend on Jan 17, 2016 18:47:27 GMT
I think 75% on this one too
|
|
ben
Posts: 2,020
Likes: 589
|
Post by ben on Jan 17, 2016 18:52:13 GMT
Just have to remember not to spend the other 25% again and save it for the next property
|
|
j
Member of DD Central
Penguins are very misunderstood!
Posts: 2,188
Likes: 540
|
Post by j on Jan 17, 2016 20:24:14 GMT
I have a feeling this will be more popular than the last one & we see a lower portion than 75% dished out. Will find out tomorrow.
|
|