Neil_P2PBlog
P2P Blogger
Use @p2pblog to tag me :-)
Posts: 355 
Likes: 209
|
SPV 54
Jul 29, 2016 14:38:10 GMT
Post by Neil_P2PBlog on Jul 29, 2016 14:38:10 GMT
Seems good - high rental yields, good location, bought at 13% discount to market value, leverage payments on 50% well covered by rent.
Am I missing the downside?
|
|
pom
Member of DD Central
Posts: 1,922 
Likes: 1,244
|
SPV 54
Jul 29, 2016 16:20:14 GMT
Post by pom on Jul 29, 2016 16:20:14 GMT
Some people might be put off by the longer term I guess (not me, happy to have a mix of deal lengths). I'd normally avoid G2 listieds, but as it's already been re-developed I'm not concerned in this case.
|
|
ben
Posts: 2,020
Likes: 589
|
SPV 54
Jul 29, 2016 16:29:00 GMT
Post by ben on Jul 29, 2016 16:29:00 GMT
Looked a rather good one to me too, personally I prefer the longer terms as looking more at rental yield then potential profits on housing market
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
|
SPV 54
Jul 29, 2016 17:39:20 GMT
Post by littleoldlady on Jul 29, 2016 17:39:20 GMT
Not for me, but I may well be the oldest investor in PM, so have a short investment horizon.
|
|
|
|
Post by propertymoose on Jul 29, 2016 18:57:32 GMT
Thanks for the comments on the deal guys, as always. It is good to get this feedback so we can use it to plan future deals.
Littleoldlady - the secondary market should be live by the end of summer just so you know. The reason we need the 5 year term is to tie in with the bank debt.
Any questions on the deal then please do shout.
Have a great weekend.
Andrew
|
|
hazellend
Member of DD Central
Posts: 2,363
Likes: 2,180
|
SPV 54
Jul 29, 2016 19:28:03 GMT
Post by hazellend on Jul 29, 2016 19:28:03 GMT
Looks good so far.
When I logged in initially there was a section with detailed breakdown of costs but I can't find it now. Has it been removed?
|
|
pom
Member of DD Central
Posts: 1,922
Likes: 1,244
|
SPV 54
Jul 29, 2016 20:18:07 GMT
Post by pom on Jul 29, 2016 20:18:07 GMT
Looks good so far. When I logged in initially there was a section with detailed breakdown of costs but I can't find it now. Has it been removed? Quite probably, as the original figures weren't displaying properly (wrong totals) so I guess it was quicker in the short term to remove than fix
|
|
|
|
SPV 54
Jul 29, 2016 20:36:48 GMT
via mobile
Post by propertymoose on Jul 29, 2016 20:36:48 GMT
Pom is right; it is much quicker to remove than to change the calculations as they were showing some display errors in the part of the site where users can vary inputs. The overal returns and investment calculator are correct so we took the view to remove the bottom section to avoid any undue confusion.
This was the same point with the yield calculation within the dashboard - because of the new product types it was calculating as intended but didn't reflect fairly for those that invested in the new products.
So everyone knows, the plan is to continue with the work on the secondary market and get that released and bedded in. We will then re-visit the additional variable calculation features and some of the dashboard calculations to ensure they are a fair reflection of the addition product types we have launched.
Hazel - I will reach our direct with a breakdown of the calculations.
If anyone else wants me to assist then please drop me a line @ andrew@propertymoose.co.uk
Kind regards
Andrew
|
|
j
Member of DD Central
Penguins are very misunderstood!
Posts: 2,188
Likes: 540
|
SPV 54
Jul 29, 2016 20:50:19 GMT
Post by j on Jul 29, 2016 20:50:19 GMT
As the figures are not there at the minute, do we know what mortgage rate we'd be paying & monthly repayments.
|
|
|
|
SPV 54
Aug 1, 2016 13:05:07 GMT
Post by propertymoose on Aug 1, 2016 13:05:07 GMT
Hi all
I thought is was easier just to relay the figures here in relation to the loan. We will add this to the deal page shortly as well.
The mortgage is for £160,000 on a capital and interest repayment basis over 25 years at 5.95% above base rate. There is an arrangement fee of c.£4k and early repayment charges in the first 5 years (the reason for the 5 year term). Due to the property being made up of multiple asset types (commercial plus residential), the mortgage is a mix between a standard BTL and a commercial loan and this means the interest rate is higher than that which you would ordinarily see on a standard BTL mortgage.
The benefit of repaying capital on the deal was it reduced the interest rate payable and also means there will be greater embedded capital on exit for investors, with a healthy yield in the meantime.
Hope that helps.
Andrew
|
|
Neil_P2PBlog
P2P Blogger
Use @p2pblog to tag me :-)
Posts: 355
Likes: 209
|
SPV 54
Aug 1, 2016 13:19:25 GMT
Post by Neil_P2PBlog on Aug 1, 2016 13:19:25 GMT
Hi all I thought is was easier just to relay the figures here in relation to the loan. We will add this to the deal page shortly as well. The mortgage is for £160,000 on a capital and interest repayment basis over 25 years at 5.95% above base rate. There is an arrangement fee of c.£4k and early repayment charges in the first 5 years (the reason for the 5 year term). Due to the property being made up of multiple asset types (commercial plus residential), the mortgage is a mix between a standard BTL and a commercial loan and this means the interest rate is higher than that which you would ordinarily see on a standard BTL mortgage. The benefit of repaying capital on the deal was it reduced the interest rate payable and also means there will be greater embedded capital on exit for investors, with a healthy yield in the meantime. Hope that helps. Andrew Thanks for the update Andrew. Is this interest tax deductable against the rental income? Why not crowdfund the mortgage? 6.45% income is not bad on a transparent 50% LTV
|
|
|
|
SPV 54
Aug 1, 2016 14:05:59 GMT
Post by propertymoose on Aug 1, 2016 14:05:59 GMT
The interest is deductible and is not caught by the mortgage tax changes under the last budget.
I agree on the crowd mortgage side and it is something we have been working on in the background. There are a few moving parts and also some further market research to do in terms of appetite for interest rates. One to watch!
|
|
zoll
Posts: 52
Likes: 26
|
SPV 54
Sept 21, 2016 10:13:08 GMT
Post by zoll on Sept 21, 2016 10:13:08 GMT
Any insight as to why this deal is not filling while others are snapped up in a matter of hours ?
Cant quite figure it - This one looks better to me than the others ?
|
|
pom
Member of DD Central
Posts: 1,922
Likes: 1,244
|
SPV 54
Sept 21, 2016 10:30:17 GMT
Post by pom on Sept 21, 2016 10:30:17 GMT
Any insight as to why this deal is not filling while others are snapped up in a matter of hours ? Cant quite figure it - This one looks better to me than the others ? It's significantly bigger than the ones being snapped up. Most people want to keep their eggs a similar size
|
|
Steerpike
Member of DD Central
Posts: 1,977
Likes: 1,687
|
SPV 54
Sept 21, 2016 10:39:37 GMT
Post by Steerpike on Sept 21, 2016 10:39:37 GMT
5 year term, listed building, leveraged - all fairly unusual for PM, or perhaps folk don't like the look of the picture ;-:
|
|
