mikes1531
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Post by mikes1531 on Sept 8, 2015 17:58:07 GMT
Potentially some bright news on the horizon for piano lenders .... there is a very good chance the second (as I type) news story "STEINWAY CONCERT GRAND . . ." on this auction house website www.pianoauctions.co.uk/news.php is referring to our piano. The estimate is well above the loan value, but slightly down on the FS valuation. Just over a month to wait now. Having been away since the above was written, I've only now had a chance to follow the link, and it appears we have competition... There's a second Model D Steinway Grand in the same auction. What I don't really understand is that the other one is estimated at £15-20k, despite being autographed by Henry Wood and others. OK, it's much older than ours, but I would have thought it would be worth more than that. Perhaps Steinway pianos don't maintain their value the way some other instruments do. Oh, by the way, the £40-50k Model D might not be ours. The auction house description dates it to 2000, whereas FS say it is a "special edition 125 year anniversary" Model D and Steinway say the 125th Anniversary model was designed in 2005.
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mikes1531
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Post by mikes1531 on Sept 8, 2015 18:06:38 GMT
I'm starting to worry about the caravan. On 30/Jul, fundingsecure said they had lowered the asking price "to achieve a quicker sale". But that was nearly six weeks ago, there's been no news since, and it wouldn't surprise me if caravan prices drop a bit once the summer season is over. Am I getting unduly concerned? |
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jonno
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nil satis nisi optimum
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Post by jonno on Sept 10, 2015 12:49:01 GMT
mikes1531; Steinways generally appreciate in line with the retail cost of new models,which increase at about 4% per year. A decent used model of 10 to 15 years old should generally fetch around 75% of new.
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mikes1531
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Post by mikes1531 on Sept 10, 2015 13:36:13 GMT
mikes1531; Steinways generally appreciate in line with the retail cost of new models,which increase at about 4% per year. A decent used model of 10 to 15 years old should generally fetch around 75% of new. : That's encouraging. I guess that suggests that the one signed by Henry Wood -- and about 80 years old -- must have issues that would explain the low estimate.
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jonno
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Post by jonno on Sept 10, 2015 14:13:24 GMT
mikes1531; Steinways generally appreciate in line with the retail cost of new models,which increase at about 4% per year. A decent used model of 10 to 15 years old should generally fetch around 75% of new. : That's encouraging. I guess that suggests that the one signed by Henry Wood -- and about 80 years old -- must have issues that would explain the low estimate. Yes. It will very much depend on the standard of restoration (and a Steinway of that age will have required substantial rebuild), and particularly if such restoration has been carried out using genuine Steinway replacement parts (of which there 12,116!).
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Post by profunder on Sept 11, 2015 0:40:20 GMT
The piano is on auction next Thursday.
I predict its going to be unsold at auction at £36,000 bid for failing to meet the reserve. Until the auction is complete the rules do not allow a private sale without the borrowers agreement.
However don't panic. I predict The piano will then be sold the week after to a private buyer for £40,000+. It will be easier to achieve this amount as the auction house will be charging a hefty 20%+VAT which is 24% premium on the hammer price. Remember at £36,000 in the room this would cost the buyer £44,640 with fees.
If I am wrong and it sells for more then there is no panic, but I am certain there will be a post auction offer which exceeds £40,000 for this piano if unsold.
Worst case cleared funds should be settled by Monday 28th of September and Funding Secure will be announcing another great result unless they forget to put a £40k reserve at auction.
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rogerbu
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Post by rogerbu on Sept 15, 2015 18:21:44 GMT
2nd LXbXX paintings 2002084876 has gone south.
FS repaying 70% of capital and no interest. FS taking the risk that they might not recover even the 70% (if >70 recovered, then investors will get extra).
FS's record of valuations on art gets worse.
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Post by mrclondon on Sept 15, 2015 19:01:25 GMT
2nd LXbXX paintings 2002084876 has gone south. FS repaying 70% of capital and no interest. FS taking the risk that they might not recover even the 70% (if >70 recovered, then investors will get extra). FS's record of valuations on art gets worse. Thanks for the update. That's the same deal lenders on the first loan got. Fortunately I pulled my money from this loan when it last renewed, but have still taken a major hit on the first loan.
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mikes1531
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Post by mikes1531 on Sept 15, 2015 20:31:37 GMT
2nd LXbXX paintings 2002084876 has gone south. FS repaying 70% of capital and no interest. FS taking the risk that they might not recover even the 70% (if >70 recovered, then investors will get extra). FS's record of valuations on art gets worse. I see from the loan's website page that, according to fundingsecure, the 'Actual Return' on this loan was -30.0% pa. I don't think so, FS, since the 30% capital loss on this loan was incurred over the course of just six and a half months rather than a whole year. I think the actual return was more like -55% p.a. I do hope FS have learned from their experiences and that their valuations of art and other not easily marketable items are a lot more conservative now.
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Post by mrclondon on Sept 17, 2015 16:37:55 GMT
Potentially some bright news on the horizon for piano lenders .... there is a very good chance the second (as I type) news story "STEINWAY CONCERT GRAND . . ." on this auction house website www.pianoauctions.co.uk/news.php is referring to our piano. The estimate is well above the loan value, but slightly down on the FS valuation. I spotted an advert for the auction house in the London Standard recently so they are actively promoting themselves. Just over a month to wait now. If that was indeed our piano, then todays update to the news page which states "Lot 80 Hammer Price £36,000" should imply a full payout of capital & interest over the next few days when FS receive the funds.
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Post by profunder on Sept 17, 2015 20:02:41 GMT
The piano is on auction next Thursday. I predict its going to be unsold at auction at £36,000 bid for failing to meet the reserve.. I predicted the hammer price to the penny then, however I had already offered them £42,000 for a private sale and am now disappointed they didn't set the reserve appropriately. I made it clear my offer, but as they had to attempt to sell it at auction first my offer was still open.  At least my valuation was justified and somewhat pleased at my prediction of price.
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mikes1531
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Post by mikes1531 on Sept 17, 2015 22:09:37 GMT
The piano is on auction next Thursday. I predict its going to be unsold at auction at £36,000 bid for failing to meet the reserve.. I predicted the hammer price to the penny then, however I had already offered them £42,000 for a private sale and am now disappointed they didn't set the reserve appropriately. I made it clear my offer, but as they had to attempt to sell it at auction first my offer was still open. At least my valuation was justified and somewhat pleased at my prediction of price. : Would you care to comment on the above?
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Post by profunder on Sept 17, 2015 22:40:56 GMT
I can only assume they had already set the reserve based on the amount required to pay back investors without their fees. Of course they could not sell prior to the auction as per the borrower t&c's. If it fails to meet a reserve the t&c's state the borrowers liability is settled on the reserve price and the assets then become owned by FundingSecure directly. The exception is obviously if the borrower agrees as they consider it a good offer and may get money back. Considering all money is being repaid to lenders, they have acted responsibly. It's just strange they didn't care about recovering their fees and costs. There is the possibility they were unable to change the agreed reserve with the auction house.
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mikes1531
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Post by mikes1531 on Sept 18, 2015 2:45:50 GMT
I can only assume they had already set the reserve based on the amount required to pay back investors without their fees. My accrued interest on this loan is 10.22% of the principal amount. So FS should need £33,066 to repay all lenders' capital and accrued interest. If they receive the £36k 'hammer price' then they'll be left with £2,934 after repaying their lenders. I don't know what their total costs/fees actually are, but I would hope that amount would cover most of them.
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Post by fundingsecure on Sept 18, 2015 7:51:42 GMT
Actually, the reserve was set so as to recover capital, interest and fees. In fact, the sale was slightly below the reserve price. This is at the auctioneer’s discretion who diverts part of the buyer’s premium to get us back to the reserve. This is common practice as the auctioneer comes away with something rather than nothing.
FundingSecure
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