Time for the banks to off load non performing loans

handlemaster

https://www.independent.ie/business/personal-finance/property-mortgages/its-absolutely-scandalous-protesters-at-ideal-homes-exhibition-target-sponsors-tsb-over-sale-of-mortgages-to-vultures-36829774.html


I see more left wing economic nonsense is been rolled out. Here we have a state bank wanting to sell loans not been paid for which would in turn lower futher risk to tax payers funds and we have lefties in dream land asking the government to manage these properties.

jimmycrackcorm

As a taxpayer my preference is for the state to get its money back that had gone into TSB.

But that's not going to happen while it's hamstrung by non performing mortgages.

Lumen

Gibberish from halfwits who can't distinguish between a property and a loan secured on it.

Best ignored.

Eric Cartman

people rabble every single day about houses not being built like builders just pull money out of their arse to complete a project. The only way to allow banks to reduce below the risk threshold to fund building projects is to sell underperforming loans or defaulted debts , its the only viable way to get what we want really , will it cause repossessions - probably , is it a bad thing that people who haven't paid get kicked out of the banks house - not really.

the mental disconnect for people seems to be that they picture the vulture funds coming in like the cromwellian landlords and booting everybody off their land in the dead of night. The reality is its a few thousand (mostly second properties / BTL's etc.. ) that haven't been paid for in over 18 months going back on the market to people who can afford them and displacing those who have used the 'national guilt' and a myriad of legal tricks to remain in a house they cannot afford.

duffman13

They need to be sold however PTSB will only sell BTL properties IMO. The external pressure has cranked up and politically I dont sense the will to sell. The few who shout the loudest seem to be dominating what happens in politics in this country.

duffman13

Eric Cartman wrote: »

the mental disconnect for people seems to be that they picture the vulture funds coming in like the cromwellian landlords and booting everybody off their land in the dead of night. The reality is its a few thousand (mostly second properties / BTL's etc.. ) that haven't been paid for in over 18 months going back on the market to people who can afford them and displacing those who have used the 'national guilt' and a myriad of legal tricks to remain in a house they cannot afford.

An awful lot of them are closer to five years, couldn't agree more with the rest of your post though

Eric Cartman

duffman13 wrote: »

An awful lot of them are closer to five years, couldn't agree more with the rest of your post though

very true, but 18 would be the absolute minimum , theres some PbP politicians act like you miss a single payment on a Friday and Monday night the bailiffs are kicking you out and changing the locks.

Seth Brundle

I think the problem some folk have is that to make the package of non performing loans financially attractive, some performing loans are bundled in.
Whilst this doesn't affect the amount repayable or the term, the mortgage holder doesn't get any drop in interest rates.
FWIW I still think the NPLs should be sold off.

Eric Cartman

kbannon wrote: »

I think the problem some folk have is that to make the package of non performing loans financially attractive, some performing loans are bundled in.
Whilst this doesn't affect the amount repayable or the term, the mortgage holder doesn't get any drop in interest rates.
FWIW I still think the NPLs should be sold off.

usually the local mortgages aren't sold off, when these debts are packaged its usually with venture debt / other intangible risk, a non performing mortgage (or hundreds of them really) to a large finance house is great because they can still list the property as a tangible asset on the loan, put 50 houses in with 30 loans for startups, share shorts, etc...) and to the bank up the chain its still a mostly tangible loan backed with buildings instead of a package of timebomb startups and lost investment debt , much cheaper to get a loan against all of it and the 'vulture' fund creams a nice margin for making the package. you're right that the package contains performing loans, but that doesn't usually mean performing mortgages or even mortgages from the same Irish bank.

NIMAN

If you haven't paid anything on your loan in 5 years, you should be out of your house (a long time ago).

Unfortunately we live in a dysfunctional country when it comes to property.

Any numpty supporting these people hasn't a clue.

Varik

Campaign representatives said they vow to ensure that those attending the Ideal Home Show will be aware of the “treacherous behaviour” of Permanent TSB.

Doubt the people attending the Ideal homes, many of who are going to have to spend ~2% above and beyond the European average on their mortgage to pay for their home are going to be on your side.