adrian77
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Post by adrian77 on Jun 18, 2018 17:34:15 GMT
Can we assume this serious offer is yet another one that has failed to materialise as we are 21 days from the above post and still no update. I was fairly confident in my nibble but getting ever more worried...
I note FS advertise they offer up to £2m on 70% LTV property loans - not with my money any more! 70% for a finished development strikes me as far too high and as for a residual valuation this strikes me as insanity. Just my opinion for what it's worth. And what is going to happen to property prices when/if Brexit takes place - I suspect a short-term pause in market activity at best...
This one is now coming up to 10 months late so maybe I have a point and there is Wimbledon,Knaresborough,Barnoldswick etc etc
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sqh
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Before P2P, savers put a guinea in a piggy bank, now they smash the banks to become guinea pigs.
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Post by sqh on Jun 22, 2018 9:46:56 GMT
Can we assume this serious offer is yet another one that has failed to materialise as we are 21 days from the above post and still no update. I was fairly confident in my nibble but getting ever more worried... New update today. Still not exchanged.
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goofy115
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Post by goofy115 on Jun 22, 2018 10:16:50 GMT
I'm a little bit more optimistic about getting my money back on this one.Especially with the borrower attempting to refinance with a broker who FS have dealt with before and is reasonably confident of refinancing taking place.Although the update provided today was not quite what we wanted to hear it was far more informative then the recent ones.
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r00lish67
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Post by r00lish67 on Jun 22, 2018 10:51:55 GMT
I'd like to agree, but I don't.
IMV, FS have backtracked from "a serious offer of £1.3m including freehold has been made with immediate exchange and completion" a month ago to a new plan to refinance as a BTL, about which they are "reasonably confident", and the classic 'overseas investor' has now appeared, who seems to participate in so many of our FS loans without ever actually managing to stump up funds.
It also seems that the borrowers lawyers were, for some reason, unwilling to provide details about the legals that were meant to have been instructed. I wonder why?
I'm really not sure why FS continue to bend over backwards to accommodate these ongoing lame excuses and unkept promises.
Edit: Mind you, given recent form, I'm sure our borrower will be just racing to complete his BTL mortgage at the earliest convenience < insert that group of laughing guys meme>
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locutus
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Post by locutus on Jun 22, 2018 11:29:12 GMT
I'd like to agree, but I don't. IMV, FS have backtracked from "a serious offer of £1.3m including freehold has been made with immediate exchange and completion" a month ago to a new plan to refinance as a BTL, about which they are "reasonably confident", and the classic 'overseas investor' has now appeared, who seems to participate in so many of our FS loans without ever actually managing to stump up funds. It also seems that the borrowers lawyers were, for some reason, unwilling to provide details about the legals that were meant to have been instructed. I wonder why? I'm really not sure why FS continue to bend over backwards to accommodate these ongoing lame excuses and unkept promises. Edit: Mind you, given recent form, I'm sure our borrower will be just racing to complete his BTL mortgage at the earliest convenience < insert that group of laughing guys meme> I don't dispute anything you've written but I wonder what is in it for the borrower. The longer they leave the less likely they are to see any profit from the project and could in fact risk having to pay out of their own pocket if the full capital and interest is not repaid.
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r00lish67
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Post by r00lish67 on Jun 22, 2018 12:04:13 GMT
I'd like to agree, but I don't. IMV, FS have backtracked from "a serious offer of £1.3m including freehold has been made with immediate exchange and completion" a month ago to a new plan to refinance as a BTL, about which they are "reasonably confident", and the classic 'overseas investor' has now appeared, who seems to participate in so many of our FS loans without ever actually managing to stump up funds. It also seems that the borrowers lawyers were, for some reason, unwilling to provide details about the legals that were meant to have been instructed. I wonder why? I'm really not sure why FS continue to bend over backwards to accommodate these ongoing lame excuses and unkept promises. Edit: Mind you, given recent form, I'm sure our borrower will be just racing to complete his BTL mortgage at the earliest convenience < insert that group of laughing guys meme> I don't dispute anything you've written but I wonder what is in it for the borrower. The longer they leave the less likely they are to see any profit from the project and could in fact risk having to pay out of their own pocket if the full capital and interest is not repaid. Well, I'll try not to speculate about the ways a distressed property sale might in theory benefit them, as I've no evidence what they're up to. I suspect there are possible ways though. Regardless of what they're up to, the fact remains that in 10 months since the property was completed, FS have failed to dispose of the asset and we now look set for at least another 2-3 months of back and forth. I had really wanted to start investing again in FS in earnest, but how can i calculate what represents a good loan if they seem unwilling or unable to realise the value of their assets in a reasonable timeframe? NB - I don't doubt that FS do want to see this redeemed very much, especially given that this is one of the loans they flagged in their newsletter as to be redeemed in June. I'm not sure that they've yet refinanced/completed any of the 6 loans they mentioned by the way.
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adrian77
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Post by adrian77 on Jun 22, 2018 12:48:35 GMT
I agree with above - on the offchance all this refinancing is not forthcoming then I guess we will have to wait until the next auction in July. I have looked at the excellent mrclondon DD and to be honest I would like this chap made bankrupt ( before other charge holders do!) and the flats repossessed - I never did buy the list of creative excuses for the constant delay. As I see it this chap this chap has written this one off and it is no loss to him to keep this one up in the air..another FS failure which is flagged up as a lemon with potential biyers knowing they can pick this one up for a song...I guess the developer is liable for the council tax, maintenance, security etc which can't be cheap.
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goofy115
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Post by goofy115 on Jul 2, 2018 19:46:20 GMT
It's back up for auction on the 18th of July with a guide price of £1m.Again FS dont keep the investors in the loop (wonder why!) and another FS investment that is not going to end well.
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adrian77
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Post by adrian77 on Jul 2, 2018 20:27:27 GMT
damn right it won't - I am very annoyed how my nibble in this has been handled or rather mishandled. Clearly this developer is a bit of a clever-clogs in dreaming up excuses for non exchange etc. Several of us in this business (unlike FS!) said there was a major problem here but yet again FS ignored us and quoted mystery buyers who failed to materialise - well that is becoming far too common as in the cinema! As we said this chap was clearly playing for time so now we will be over a year late asssuming the block sells at auction. I notice there are lots of distressed flats for sale in liverpool and given that this one is flagged up as a lemon I just can't see it making £1m which is about £141K per flat. I would guess about £700K for the lot after expenses but happy for a second opinion who, unlike me knows the local market - I am expecting at least a 25% lost of capital on this one...
Gordon Bennett!
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goofy115
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Post by goofy115 on Jul 2, 2018 20:56:16 GMT
Incidentally I just had a quick scan of investors in the 2nd and 3rd loans (which almost seem inevitable for a 100% loss) and there are several in for 10k and one for 17k.Not as much as some have in the cinema but still amounts not to be sniffed at.Anyone know if auctionhouse stream their auctions online? This time it’s in London - make of that what you will.
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adrian77
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Post by adrian77 on Jul 2, 2018 21:08:32 GMT
yes they do - a link appears before the auction - works fairly well.
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puddleduck
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Post by puddleduck on Jul 2, 2018 21:34:44 GMT
Incidentally I just had a quick scan of investors in the 2nd and 3rd loans (which almost seem inevitable for a 100% loss) and there are several in for 10k and one for 17k.Not as much as some have in the cinema but still amounts not to be sniffed at.Anyone know if auctionhouse stream their auctions online? This time it’s in London - make of that what you will. Yes, they do, I usually attend in person, but if there is only 1 or 2 properties I'm interested in, I watch via the web while doing a telephone bid (actually when doing this, you notice the web stream is delayed by about 2 seconds)
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r00lish67
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Post by r00lish67 on Jul 2, 2018 21:44:47 GMT
damn right it won't - I am very annoyed how my nibble in this has been handled or rather mishandled. Clearly this developer is a bit of a clever-clogs in dreaming up excuses for non exchange etc. Several of us in this business (unlike FS!) said there was a major problem here but yet again FS ignored us and quoted mystery buyers who failed to materialise - well that is becoming far too common as in the cinema! As we said this chap was clearly playing for time so now we will be over a year late asssuming the block sells at auction FundingSecure are the Neymar of my Peer to Peer dream-team portfolio. A top earner, plenty of success, and yet the way they handle themselves on the P2P pitch is just embarrassing to watch. Collapsing in a heap at the slightest hint from the borrower that they might not like to pay up promptly. Still feigning even when the whole world can see it's a put-on.
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goofy115
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Post by goofy115 on Jul 2, 2018 23:06:22 GMT
FundingSecure are the Neymar of my Peer to Peer dream-team portfolio. A top earner, plenty of success, and yet the way they handle themselves on the P2P pitch is just embarrassing to watch. Collapsing in a heap at the slightest hint from the borrower that they might not like to pay up promptly. Still feigning even when the whole world can see it's a put-on. FS could learn a lot from bridgecrowd in the way they handle late payments etc.They give the borrower a reasonable amount of time to cough up with the readies and failing that papers are swiftly served for repossession of the property.Members of BC would have received an investors newsletter around the 5th of April this year that had the following quote: ’We even know of one very very large property platform that has stated to brokers "just send us what other lenders won't do, and we will do it". We think we will start to see many bad loans and capital write offs popping up on these platforms (if they haven't already) and and this will likely tarnish the industry to some degree.’ If or if not they are referring to FS one thing is for sure.We are highly likely to see some big losses pretty soon probably in this one and several others on this platform.
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james21
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Post by james21 on Jul 3, 2018 6:15:52 GMT
Incidentally I just had a quick scan of investors in the 2nd and 3rd loans (which almost seem inevitable for a 100% loss) and there are several in for 10k and one for 17k.Not as much as some have in the cinema but still amounts not to be sniffed at.Anyone know if auctionhouse stream their auctions online? This time it’s in London - make of that what you will. I have some in the second so its a wipe out for me. The biggest lesson anyone can learn from in investing in FS is NEVER invest in rank behind or second legal charges. For me I learned too late so still have the legacy of loans from my loans from 2017 defaulted (or in process of) working their way through
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