rogerthat
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Post by rogerthat on Oct 17, 2018 13:23:12 GMT
New update on the site. So it seems the borrower not content with "remodeling" the interior isn't going to leave easily. Will there be anything left when he's gone (no doubt in 12 months time) ? 496 days and counting "We are also considering selling the adjoining farmland separately as this does not require eviction" …..Well that's reassuring to know What happened to 'Cant Pay, we'll take it away' ? FS..helloo..anybody there ?
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michaelc
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Post by michaelc on Oct 17, 2018 14:15:43 GMT
New update on the site. So it seems the borrower not content with "remodeling" the interior isn't going to leave easily. Will there be anything left when he's gone (no doubt in 12 months time) ? 496 days and counting "We are also considering selling the adjoining farmland separately as this does not require eviction" …..Well that's reassuring to know What happened to 'Cant Pay, we'll take it away' ? FS..helloo..anybody there ? Yes indeed I thought that was a little odd too unless they're thinking it would be more valuable sold together. If it carries on, they might end up with a development site with planning permission to build what currently stands there. Oh and a pile of plasterboard and asbestos.
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rogerthat
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Post by rogerthat on Oct 17, 2018 14:31:22 GMT
496 days and counting "We are also considering selling the adjoining farmland separately as this does not require eviction" …..Well that's reassuring to know What happened to 'Cant Pay, we'll take it away' ? FS..helloo..anybody there ? Yes indeed I thought that was a little odd too unless they're thinking it would be more valuable sold together. If it carries on, they might end up with a development site with planning permission to build what currently stands there. Oh and a pile of plasterboard and asbestos. Don't forget the mezzanine floor .the borrowers banged to rights..and bankrupt to boot..if FS have a 1st charge on the property why don't they just send the bailiffs in ?. Whether the 38 acres of farmland is more valuable with or without an unsafe farmhouse I have no idea
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michaelc
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Post by michaelc on Oct 17, 2018 14:36:15 GMT
Yes indeed I thought that was a little odd too unless they're thinking it would be more valuable sold together. If it carries on, they might end up with a development site with planning permission to build what currently stands there. Oh and a pile of plasterboard and asbestos. Don't forget the mezzanine floor .the borrowers banged to rights..and bankrupt to boot..if FS have a 1st charge on the property why don't they just send the bailiffs in ?. Whether the 38 acres of farmland is more valuable with or without an unsafe farmhouse I have no idea Not forgotten hence my sorry worst case predication of all there not being much left. I was assuming the joists and floorboards in the mezzanine floor would be recycled (along with everything else 'cept the plaster and rubbish left by the borrower).
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adrian77
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Post by adrian77 on Oct 18, 2018 8:14:05 GMT
I hope not that as this is or was a lovely house - let alone thinking about FS clients' money invested in it!
I would drive up and have a look but very busy at the moment - is there anybody local who could have a butcher's?
I thank you.
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michaelc
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Post by michaelc on Dec 17, 2018 21:20:29 GMT
Papers are apparently ready to be served at court but haven't been done so as of the update 5 hours ago. I assume it will be another 6-12 months before the eviction takes place....
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michaelc
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Post by michaelc on Jan 17, 2019 16:19:27 GMT
New update on the site. Borrower is going to pay up apparently.
Documents were shown at a face to face meeting "electronically". Does that mean the borrower whipped out his mobile and quickly scrolled through a few emails ?
Note that if they really wanted to improve the updates, then why not follow up with another update at the end of this week to state whether or not these new documents were received and the significance of them? In general if they state, X will be happening before Y date, then why not commit to updating on or before Y date ?
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SteveT
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Post by SteveT on Jan 18, 2019 10:43:24 GMT
I'm struggling to get my head round the update. First we're told that the borrower has "made proposals to repay all debts", which would usually be taken to mean all capital plus interest. Then we're told "We will then be able to undertake proper DD on this proposal and understand if it has any merits", which strongly suggests the "proposal" isn't simply a cash payment. Possibly instead a refinancing / renewal of some sort and/or perhaps involving other security. On top of the 1st charge loan capital owed of £587k, there is ballpark £120k of 1st charge accrued interest to be paid before lenders in the 2nd charge £188k loan see a penny back, let alone their own £43k accrued interest. But the 2nd charge loan has the same "repay all debts" update, so presumably fundingsecure must be looking at a "proposal" amounting to £940k+ ...
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sarahcount
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Post by sarahcount on Jan 18, 2019 12:08:43 GMT
I'm struggling to get my head round the update. First we're told that the borrower has "made proposals to repay all debts", which would usually be taken to mean all capital plus interest. Then we're told "We will then be able to undertake proper DD on this proposal and understand if it has any merits", which strongly suggests the "proposal" isn't simply a cash payment. Possibly instead a refinancing / renewal of some sort and/or perhaps involving other security. On top of the 1st charge loan capital owed of £587k, there is ballpark £120k of 1st charge accrued interest to be paid before lenders in the 2nd charge £188k loan see a penny back, let alone their own £43k accrued interest. But the 2nd charge loan has the same "repay all debts" update, so presumably fundingsecure must be looking at a "proposal" amounting to £940k+ ... SteveT On top of that calculation is the money owed on the terraced houses in Barnoldswick and Burnley where FS neglected to perfect the security and have undertaken to cover any shortfall out of their own funds should that be necessary.
I don't understand what's going on either. Just hope that this is a genuine proposal that gets these loans concluded.
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09dolphin
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Post by 09dolphin on Jan 18, 2019 13:59:48 GMT
I just want out of FS loans and this is one of my loans - albeit a very small loan.
The latest update is confusing and I'm not sure what exactly it means - will we get paid a portion of our capital. all of our capital or capital + or interest owed? I really would like to know what I should base my expectations on.
Updates on loans are so confusing as they promise so much but then they deliver nothing and kick the ball into another court. I can't understand why FS keep saying there will be a payment and the payment just never happens. Why do they do this?
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adrian77
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Post by adrian77 on Jan 18, 2019 16:22:52 GMT
In my opinion this is highly misleading and bordering on deception. Personally I think the chance of a full recovery with interest is far less likely than Teresa May getting her Brexit "deal" passed! This house is damaged and has tenants (the borrower?) so that can easily be another 6 months before repossession is gained. We don't know how serious the damage is but I said this one was overvalued even before the damage! Depressed housing market and a fire sale of a damaged house with bankrupt tenants - well done FS - brilliant!
Maybe the above should read
In the event of a complete horlicks be prepared for mega losses....
Gordon Bennett
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dApps
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Post by dApps on Jan 18, 2019 16:28:37 GMT
In my opinion this is highly misleading and bordering on deception. Personally I think the chance of a full recovery with interest is far less likely than Teresa May getting her Brexit "deal" passed! This house is damaged and has tenants (the borrower?) so that can easily be another 6 months before repossession is gained. We don't know how serious the damage is but I said this one was overvalued even before the damage! Depressed housing market and a fire sale of a damaged house with bankrupt tenants - well done FS - brilliant! Maybe the above should read In the event of a complete horlicks be prepared for mega losses....
Gordon Bennett Isn't the only statement you need to concern yourself with over its veracity: "We have previously confirmed that if we fail to recover all funds due on the property loans with security issues Fundingsecure will stand behind those loans" ?
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adrian77
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Post by adrian77 on Jan 18, 2019 16:34:51 GMT
true but I was referring to the farmhouse which I think has no security issues (apart from being over a year later etc etc) - or have I misread it?
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r00lish67
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Post by r00lish67 on Jan 18, 2019 17:37:07 GMT
true but I was referring to the farmhouse which I think has no security issues (apart from being over a year later etc etc) - or have I misread it? No, you are right. It's just the borrower's other 2 properties for which Fundingsecure have no security whatsoever. The firesale of the currently tenanted mid-construction farmhouse is going to pay for all of that, right after it has paid for the two large FS loans against it, that also have months and months of accrued interest. Call it the 'Barnoldswick dividend'.
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adrian77
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Post by adrian77 on Jan 18, 2019 17:57:12 GMT
thanks - if we assume 20% loan interest and 2 years before final payment that is £587 + £244 for the first charge so let's be generous and call it £800K before receiver fees etc and before the second charge gets a look-in. If we take the total loan as £587+ £188K that is £775K so at 20% over 2 years that is over £1m. £1m for the fire sale of a owner damaged vastly overvalued (in my opinion) house with bankrupt tenants; what's the problem - bound to be loads left over!
We already have the "Whitehaven syndrome" in common parlance and the "Barnoldswick" dividend sounds good to me (from a linguistic viewpoint anyway!)
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