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Guest rigsby II

Small Developer - Big Mortgage

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Guest rigsby II

I just don't get how a small developer can sustain losses like this for so long and still keep going, unless he's made pots in the past and has deep pockets.

I viewed these last August and put in an insulting offer and was turned down flat. They have been on sale for 18 months.

http://www.rightmove.co.uk/viewdetails-4463401.rsp

http://www.rightmove.co.uk/viewdetails-4463404.rsp

http://www.rightmove.co.uk/viewdetails-4463407.rsp

http://www.rightmove.co.uk/viewdetails-4463410.rsp

New LR data is out and it looks like the developer has re-mortgaged all 4 now, total mortgage = £692749

http://www.houseprices.co.uk/e.php?q=DN17+4GD&n=10

How much is a £692749 mortgage, plus 4 council taxes (50% cos empty) etc costing him each month ? (rhetoric question - its a lot)

The values he is asking and the values remortgaged for make a total nonsense of the LR data because they are forced-to-fit values.

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New LR data is out and it looks like the developer has re-mortgaged all 4 now, total mortgage = £692749

This is interesting but can you explain how to get this information. I know that the LR list charges against a property but I didn't think it told you the amounts.

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Guest Time 2 raise Interest Rates

Big Developer-Big Fall In Profits.

Upmarket developer Berkeley has posted a 13.3% fall in pre-tax profits

to £86m. :)

Edited by Time 2 raise Interest Rates

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Guest rigsby II

This is interesting but can you explain how to get this information. I know that the LR list charges against a property but I didn't think it told you the amounts.

Click the link >> http://www.houseprices.co.uk/e.php?q=DN17+4GD&n=10

It shows what the houses 'sold for' all within 2 days of each other (although they have come through the LR figures in dribs and drabs - its only now you can see all 4 sold - maybe the developer lives in the 5th plot too)

Only they havent ever been sold, they are empty, the same developer and the EA told me so.

It can only mean that the developer had re-mortgaged them all, either because an existing loan was renewed to better rates, or basically MEW to cover outgoings.

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Click the link >> http://www.houseprices.co.uk/e.php?q=DN17+4GD&n=10

It shows what the houses 'sold for' all within 2 days of each other (although they have come through the LR figures in dribs and drabs - its only now you can see all 4 sold - maybe the developer lives in the 5th plot too)

Only they havent ever been sold, they are empty, the same developer and the EA told me so.

It can only mean that the developer had re-mortgaged them all, either because an existing loan was renewed to better rates, or basically MEW to cover outgoings.

Actually, it can mean several things, but it can't mean that they've been remortgaged. Remortgages do not show up as transactions, because they aren't. It could be some kind of sale-and-lease-back arrangement with a finance company.

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Guest rigsby II

Actually, it can mean several things, but it can't mean that they've been remortgaged. Remortgages do not show up as transactions, because they aren't. It could be some kind of sale-and-lease-back arrangement with a finance company.

Fair point.

Still costing a lot per month though, not his original reason for the speculation I would have thought, although my original point of how can he afford it is probably answered by using the dosh from the sale-and-lease back to make the repayments, so in theory he can last a hell of a long time without actually going bust.

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Or he could have sold them all off cheap to a (dumb/hopeful?) flipper?

Why don't you ring up the EA and ask whether the vendor is the developer and if not when they were build and whether they have been occupied. If they have been on the market for ages I would love to know the reasons given by the EA....

I'd ring myself but I'm too shy. :unsure:

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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