withnell
Member of DD Central
Posts: 550 
Likes: 491
|
Post by withnell on Feb 15, 2018 15:34:38 GMT
The valuation document has disappeared from the Lendy website. It's still on the website, on the loan's individual page (link near the top next to the picture)
|
|
|
|
Post by peterpea on Feb 15, 2018 15:38:31 GMT
I recall Lendy (or SS) saying "they would rather not make a loan than make a bad loan". Sales talk. Not happy with them moving goal posts and then blaming FCA rules for withholding interest payments. Should have been for new loans and not catching people out after suckering them in.
Does anyone know the chances of claiming on the valuation company insurance ? usually they cover their asses one way or another. How much is in the provision fund ?
|
|
locutus
Member of DD Central
Posts: 1,059
Likes: 1,622
|
Post by locutus on Feb 15, 2018 15:41:44 GMT
I note that the surveyors Keppie Massey have 1 star ratings on 2 review websites and 3 stars on another. The valuation document has disappeared from the Lendy website. Unfortunately, to leave a review, the sites require the branch and a named person so have been unable to leave my considered opinion on these sites for their perusal. Phil W******* BSc (Hons) MRICS Ged Massie BSc (Hons) MRICS IRRV MCIArb For and on behalf of KEPPIE MASSIE LIVERPOOL OFFICE: ALABAMA HOUSE, 6 RUMFORD PLACE, LIVERPOOL L3 9B
|
|
poppyland
Member of DD Central
Posts: 237
Likes: 243
|
Post by poppyland on Feb 15, 2018 15:46:58 GMT
Presumably Lendy have shrugged and asked: "What didn't these people understand about "Your capital may be at risk" " I always understood that my capital was at risk, and I expected to lose something at some point. But I also did place a certain degree of trust in the valuations. Sure, I knew they might be out by a bit, but I expected them to be basically in the right ballpark. Valuers are professionals who are meant to know what they are doing - they are not gipsy women with a crystal ball pulling answers out of thin air (or are they?). The loss I can handle - it's the size of it, and the fact that the property was valued for nearly 3.5 times more than it ultimately sold for that really pisses me off and makes me feel that Lendy should be called to account. I will certainly be making a complaint to Lendy and to any other relevant authorities that I can think of.
|
|
GeorgeT
Member of DD Central
Posts: 1,322
Likes: 1,576
|
Post by GeorgeT on Feb 15, 2018 15:47:21 GMT
I've been crunching the numbers and my estimate is that the sale will provide recovery of approx. 41% of investors' capital. Of course this excludes any additional monies that LY may be able to claim further down the line, and it excludes any use of the LY PF to top the recovery up. My sums: Loan value: £3,430,000 Plus: Fees (LPA Receiver, estate agent, legal etc.): say £200,000 Total: £3,630,000Less: Sale proceeds: £1,500,000= Net shortfall: £2,130,000 So, my estimated capital recovery rate: £1.5m/£3.63m = 41%
 |
|
IFISAcava
Member of DD Central
Posts: 3,692
Likes: 3,018
|
Post by IFISAcava on Feb 15, 2018 15:50:32 GMT
I've been crunching the numbers and my estimate is that the sale will provide recovery of approx. 41% of investors' capital. Of course this excludes any additional monies that LY may be able to claim further down the line, and it excludes any use of the LY PF to top the recovery up. My sums: Loan value: £3,430,000 Plus: Fees (LPA Receiver, estate agent, legal etc.): say £200,000 Total: £3,630,000Less: Sale proceeds: £1,500,000= Net shortfall: £2,130,000 So, my estimated capital recovery rate: £1.5m/£3.63m = 41%
is there any commission to take off the £1.5 million?
|
|
Jeepers
Member of DD Central
Posts: 818
Likes: 721
|
Post by Jeepers on Feb 15, 2018 15:50:33 GMT
So we have our first disaster....
I don't blame Lendy, they acted on the advice of the valuation report as did we as investors.
The blame rests entirely with the surveyor and i would hope Lendy are actively preparing to sue!
|
|
elliotn
Member of DD Central
Posts: 3,064
Likes: 2,681
|
Post by elliotn on Feb 15, 2018 15:56:16 GMT
Have left the following on one site "Keppie Massey valued W******* Castle at 4.9 million. - It sold for 1.5 million. Lenders through P2P platform Lendy will lose over half their investment and nine months' interest. They should be hanging their heads in shame." Normally the shortest timeframe they value is for sale over 90 days. For a one off disposal from receviership at auction KM would presumably offer a severe haircut to exchanging at market values (Ie based on square foot comparables for the apartments and other parts of the listed building). VRs are littered with caveats as to the type of sale they are valuing for and I bet their PI insurance is rarely tested. (As an ex auditor, similar wriggle room is used over opinion on whether accounts are true and fair or not).
|
|
poppyland
Member of DD Central
Posts: 237
Likes: 243
|
Post by poppyland on Feb 15, 2018 16:07:40 GMT
So we have our first disaster.... I don't blame Lendy, they acted on the advice of the valuation report as did we as investors. The blame rests entirely with the surveyor and i would hope Lendy are actively preparing to sue! I do blame Lendy, because they are supposed to stand between us and dodgy borrowers/ over-optimistic valuers. Did they get more than one valuation? Did they look into the recent history of selling/trying to sell the castle? If the estate with a whole lot of extra buildings failed to sell for 5 million in recent years, why did they think a reduced-sized estate would realistically have a valuation of 4.9 million? Lendy are supposed to do a lot of legwork before offering us loans, so that we can invest our money with confidence, and so that losses aren't likely to be too drastic even in the worst scenario.
|
|
mary
Member of DD Central
Posts: 698 
Likes: 711
|
Post by mary on Feb 15, 2018 16:09:42 GMT
I assume that tomorrow's update will confirm that the PF will cover at least half the shortfall.
|
|
star dust
Member of DD Central
Posts: 2,998
Likes: 3,531
|
Post by star dust on Feb 15, 2018 16:12:27 GMT
I assume that tomorrow's update will confirm that the PF will cover at least half the shortfall. Someone will correct me if I'm wrong, but as far as I can remember Lendy have never stated that anything in particular is being (or has been) covered by the PF. I would expect them to see if they can realise anything else first too.
|
|
Jeepers
Member of DD Central
Posts: 818
Likes: 721
|
Post by Jeepers on Feb 15, 2018 16:13:02 GMT
Looking more closely at the valuation, it's broken down with most of the value being the apartments.
The mansion house is value at £1.775m (£1m 90 day) and the article in the daily Mail says the sale has been stripped back to just the mansion house.
What happened to all the apartments in the valuation?
|
|
Jeepers
Member of DD Central
Posts: 818
Likes: 721
|
Post by Jeepers on Feb 15, 2018 16:15:14 GMT
So we have our first disaster.... I don't blame Lendy, they acted on the advice of the valuation report as did we as investors. The blame rests entirely with the surveyor and i would hope Lendy are actively preparing to sue! I do blame Lendy, because they are supposed to stand between us and dodgy borrowers/ over-optimistic valuers. Did they get more than one valuation? Did they look into the recent history of selling/trying to sell the castle? If the estate with a whole lot of extra buildings failed to sell for 5 million in recent years, why did they think a reduced-sized estate would realistically have a valuation of 4.9 million? Lendy are supposed to do a lot of legwork before offering us loans, so that we can invest our money with confidence, and so that losses aren't likely to be too drastic even in the worst scenario. Are they supposed to do all the legwork? I've a fair sum in this and i should have carried out more DD, based on what I should have found had I done the DD, i wouldn't have invested.
|
|
|
|
Post by peterpea on Feb 15, 2018 16:18:50 GMT
So we have our first disaster.... I don't blame Lendy, they acted on the advice of the valuation report as did we as investors. The blame rests entirely with the surveyor and i would hope Lendy are actively preparing to sue! Lendy have to take part of the blame. They send to auction very quickly so the valuation that applies is the "fire sale" valuation, around 3.5M not 4.9M. So Lendy lent at pretty much 100% LTV which is too much. The upper valuation is for a long sale period which Lendy avoids for obvious reasons. As mentioned before Lendy have done it all over again recently with the W**** H*** H****. The property is worth at auction about 300K. Launceston is a cheap place to live where property is bargain priced. It is never worth 750K in it current state and location.
|
|
webwizard
Member of DD Central
Posts: 157
Likes: 145
|
Post by webwizard on Feb 15, 2018 16:20:06 GMT
I assume that tomorrow's update will confirm that the PF will cover at least half the shortfall. Someone will correct me if I'm wrong, but as far as I can remember Lendy have never stated that anything in particular is being (or has been) covered by the PF. I would expect them to see if they can realise anything else first too. PBL123 quote:" The property was sold at auction on 14 September 2017 for the sum of £1,000,000 and we will now be pursuing the borrower for the residual debt outstanding. Where the property sold for less than the capital sum, Lendy intend to make payment of the shortfall from its provision fund." So the PF has been used before and mentioned in the update on 15 Sept 2017. Of course on the NEW partially repaid tab you cannot see what the original loan amount was, only the outstanding which for this loan is £0
|
|
