Ross Maguire "Vulutre funds part of the solution."

[Delboy]

Maguire again raises the issue of strategic default while talking about Vulture funds being necessary to solve the overall mortgage problems in Ireland

Vulture funds are part of the solution, not the problem
http://www.irishtimes.com/opinion/vultu ... -1.3079571

Let there be no doubt: there are large numbers of people who can pay but won’t pay. These people are not the victims and they do not deserve sympathy.
For the genuine cases the protections and restructuring options now exist, and funds are best-placed to work this through. Banks are not meant to be in this business, and leaving the loans on their balance sheets hurts us all, especially those future borrowers who will face punitive interest rates to pay for those who are gaming the system.
It is high time to get real. It can no longer be acceptable for an investor to pay himself from rents that are meant to be repaying debt and it is no longer acceptable for homeowners to refuse to pay what they can, just because it does not suit them to pay.

 

[Brendan Burgess]

Thanks for that Delboy

That is a great article by Ross.

This is what Mick Wallace claimed he got in a text.

“Saw your ad on bus. ***** are trying to illegally sell my mother’s home. They changed the locks and cleared the house of private possessions without any court order. Can you help?”

Ross debunks this:

"Earlier this week, writing in this newspaper, [broken link removed] TD recorded a text sent to his NamaLeaks phone line where the texter complained that a fund was illegally trying to sell his mother’s house without a court order.

It is not possible under Irish law to sell a “home” without a court order.

The innuendo is that a little old lady is being thrown out of her home by a fund, absent the involvement or protection of a court. This is false."

"The funds, despite having a small share of distressed home loans, account for nearly 70 per cent of all mortgage-to-rents completed in the State. [broken link removed] has completed less than 1 per cent of the total."

Brendan

 

[Buddyboy]

Yes, a great article - but likely to fall on deaf ears.

 

[Brendan Burgess]

It certainly fell on the deaf ears of the Master of the High Court

Repossessions to increase fivefold, warns master of High Court
Sell-off to vulture funds will push up evictions, costing taxpayers millions

Great analysis here by Séamus Coffey

Where are the vulture funds?

"Mr Honohan also said his “overwhelming impression anecdotally” was that individuals before the courts in relation to these matters were sub-prime borrowers “who should probably never have been given mortgages in the first place”."

What is the Master of the High Court giving his "overwhelming impressions anecdotally"? Why does he not just count all the cases for repossessions and work out what percentage of them are from vulture funds?

Séamus Coffey has tabulated all the cases on the current lists of the courts.

Of the 1,874 cases currently listed for hearing only 15% are from vulture funds.

Yet vulture funds account for 30% of all arrears over 2 years.

So if you are in deep arrears with a vulture fund, you are less likely to face court proceedings.





Brendan