Taylor Wimpey Share Discussion Threads

[m4rtinu] 23/7/2018 15:02

Seems like a fall across sector. But, could it be the TW. yield is being perceived as too good (to be true)?

[dr_smith] 23/7/2018 14:47

Decades ago I worked in Banking and one task was to value property being used to secure bank loans. We worked on "forced sale value". No internal inspection was done, but a drive by would be indicative of price bracket from similar local sales, and note was made as to whether exterior appeared to be well maintained, replacement windows etc. It was then assumed the property would have to be sold under adverse market conditions and via auction, to be seen to be getting "best price" if bank was forced to sell to pay debt off, and deduction also made for costs of selling.
This means "FSV" is typically below market value by a margin.
In my scenario the bank could be a 2nd mortgagee behind a b/soc.
The key part is whether FSV is greater than loan value.
B/societies may use market value, but their rules usually require a deposit of say 5-20%, whatever percentage, this was their buffer should the sh*t hit the fan and property have to be sold.
I am out of touch with current b/soc practice, along with surveyors and/or valuing agent they use, but BOE in recent years have been putting increasing pressure on sector to be more resilient to adverse market conditions, so this "buffer" may be under increased focus.
It also acts as a buffer so that prospective homeowners/upgraders, don't over extend themselves. Typically it would be first time buyers with near zero equity that may be hit by b/soc requiring larger deposits. Struggling house savers may find it hard but from morgage co point of view, this is resposnible lending - as co-erced by BOE.

IMO :-)

[baracuda2] 23/7/2018 14:40

Just bought more, seems a good opportunity to me.

[jugears] 23/7/2018 14:34

fenner66- Unfortunately these days if the mm's see any possible opportunity to knock a sector down to make money they will do,I Can't see this has any effect on Tw. as they are selling new houses & this refers to what I would call the second hand house market, Where IMHO prices are allways way over valued.

[baracuda2] 23/7/2018 14:32

Looks like it's been overdone yet again, another opportunity to buy more at a ridiculous low price!

[purplepanther] 23/7/2018 14:27

Can't see that article has any relevance of any significance to warrant what's its doing to the sector today, but nonetheless feels like the 160s now beckon in TW and a yield over 11% ...

[fenners66] 23/7/2018 14:16

From the article of surveyors not agreeing a valuation as high as the agreed price....

The Royal Institution of Chartered Surveyors (Rics) said: "The market value is based on comparable market evidence, usually a minimum of three sales transactions of similar properties in the local area, and also the professional's knowledge of the local market including supply and demand dynamics.

You would have thought that in a rising market the first part of that method would always be a fail.

If there were far less conflicts over the last few years - then it's not the"three sales transactions" making the decision.
Therefore it's all down to surveyors guessing what will happen in the market.

That's why they are surveyors and not property millionaires ?

[wfl1970] 23/7/2018 13:59

Could it be this...

[chiefbrody] 23/7/2018 13:56

https://www.bbc.co.uk/news/business-44202542

[garycook] 23/7/2018 13:52

All House Building shares getting hammered today.Why not sure.

[kulvinder] 23/7/2018 13:25

Seriously did not think we would see 172 again, but we have... what is causing such a drop?

[iceman82] 20/7/2018 18:25

now i regret i have not bought more at 171....

[garycook] 18/7/2018 11:45

The J,You took the same words out of my mouth.Totally agree.With a 10.3% yield its a no brainer.

[the juggler] 18/7/2018 11:40

Sidarthur2 I must admit I thought the same! However we must be rational, he can't get all his stockpicks wrong all the time can he?

[sidarthur2] 18/7/2018 11:34

woodford = kiss of death....?

[purplepanther] 18/7/2018 09:13

Breaking through its 21 day moving average which is quite encouraging

[m4rtinu] 17/7/2018 08:48

Swings and roundabouts ...

"There were 32,200 new mortgages completed for first-time buyers over the month, 8.1% more than in May last year. The £5.4bn of new lending was up 12.5%, according to figures from UK Finance, a lobby group for the financial services industry.

However, the number of new buy-to-let mortgages fell by 9.8% in May compared with a year earlier to 5,500. Lending was £700m, 22% lower than in the same month last year.

Full article:

[m4rtinu] 17/7/2018 08:40

Woodford increased holding (RNS above).

[iceman82] 14/7/2018 06:54

ok thanks stu

[stewart64] 13/7/2018 21:03

iceman....dividends have to be received before the 10th ( or thereabouts) at Hargreaves to be invested that month. Otherwise they stay in the cash account until the following month and are invested after the 10th ( usually circa 12th) the following month. That's assuming you are signed up for their auto reinvest at a flat fee.

[iceman82] 13/7/2018 20:47

why 12 of august?

[gbh2] 13/7/2018 14:47

Of the Three brokers I use two had paid the dividend before 11am, the third is IG and last time it took them a whole weekend to part with my cash, looks like they'll be trying it on again.

[gbh2] 13/7/2018 11:47

Jugears, being retired for such a long time totally eradicates the need to differentiate between week days and week ends, except on the odd occasion when a throwaway comment proves you're living in a different world to most folk :)

[stewart64] 13/7/2018 10:53

Dividend hit my Hargreaves account just. Game on for a wall of money to be reinvested though Hargreaves will not reinvest until 12th August.