j
Member of DD Central
Penguins are very misunderstood!
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Post by j on Jul 17, 2015 17:14:22 GMT
pikestaff, why do you feel such investments are very risky? If the purchase is discounted (eg reposession), in an area with high rental demand, the worst case scenario is that short to mid term the value may go down.The rent, provided only short void periods occur, will still provide a decent return/yield until the properry returns to purchase value or higher to give an even higher ROI. Long term should always be bourne in mind so it may not be suitable for short termists. I am of course open to a differet slant on the above. I didn't say they are very risky, although your view is a bit rosier than mine. But I do think they tend to be marketed to people who don't understand the risks, and that this is likely to end in tears next time there is a property crash and a lot of investors all look for the exit at once. I fully understand why the dragons (who have chosen to be public figures) would not be comfortable with the reputational risk. I'm not diasgreeing with you at all. My point is that many other investments, certainly PBLs offered via p2p @ 65%+ ltv, are just as risky as normal property investments, along with share trading, commercial property, etc
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Post by Financial Thing on Jul 18, 2015 20:14:14 GMT
I agree pikestaff. When one of these P2P platform fails (which is inevitable), the unknowns of how the securities / administration are handled are what makes it risky. As an investor, you could be chasing your principle investment in the legal system which has to be paid for somehow. When I hear "my company hasn't made a profit in 3 years", this makes me very nervous.
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star dust
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Post by star dust on Jul 24, 2015 17:55:07 GMT
Looks like this turned out to be a no publicity is bad publicity for HC, at least if tonight's email from them is to be believed
"We have had a huge influx of new subscribers to the website recently......"
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Post by johnsnow on Aug 7, 2015 6:40:41 GMT
not sure about that really.
since the Dragon's Den seems equity sites struggling to raise finance?
or the new Budget? not sure,
anyhow, property partner could not raise 490k in 21 days, what they managed to do in a matter of hours previously....
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Post by mitosan on Aug 10, 2015 12:17:34 GMT
not sure about that really. since the Dragon's Den seems equity sites struggling to raise finance? or the new Budget? not sure, anyhow, property partner could not raise 490k in 21 days, what they managed to do in a matter of hours previously.... If you're referring to Tower Mint then I guess its likely because everyone who wanted a piece of that pie got in on the first flat, and then there was a second, and now a third so demand for that particular one is probably very dry now. Also, I suspect initial demand in it was magnified by the fact they secured it at an 8% discount.
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j
Member of DD Central
Penguins are very misunderstood!
Posts: 2,188
Likes: 540
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Post by j on Aug 10, 2015 16:25:39 GMT
thc seem to have struggled for a few weeks if not months to fillmany loans at the speed they used to, even ones with higher rates of return (projected). I wonder if there will come a time over the next few months when the sector might consolidate with a spate of mergers to produce scales of economy in order to survive. That might well be the case when the economic downturn does eventually materialise. same for p2p I should think
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