Possible reposession in Latvia

[Oso]

Kemo,

What you are saying is that an investor shouldn't look for good deals if he is in trouble himself with one of his investments? Effectivley that's what you are saying.

Many of our properties in Ireland, Latvia etc have gone down in price in the crisis doesn't make us irresponsible. And doesn't mean we must stop buying and selling property. That's the overall picture unless you are determined to be in some deluded high horse and subject people to ridicule.

 

[Kemo_Sabe]

Kemo,

What you are saying is that an investor shouldn't look for good deals if he is in trouble himself with one of his investments? Effectivley that's what you are saying.

Many of our properties in Ireland, Latvia etc have gone down in price in the crisis doesn't make us irresponsible. And doesn't mean we must stop buying and selling property. That's the overall picture unless you are determined to be in some deluded high horse and subject people to ridicule.

I'm not trying to subject you to ridicule, I'm simply pointing out the gross dichotomy between your two posts. If you can't see it, that's your problem I suppose.

Of course you can and should look for good deals - equally if you are solvent enough to enter into such new deals, then you are solvent enough to pay off the debts from your old ones. Do you agree?

Where's the ridicule?

 

[dereko1969]

you're trying to welch on the deal you made in latvia while at the same time trying to buy from a distressed seller in spain, ergo you obviously have the money to keep paying the latvian mortgage but just don't feel like paying it anymore and are seeking advice on how to get away with it,
in what way is this moral?

 

[Tinker Bell]

Well said Dereko.

 

[Robin Banks]

"I shouldn't have to take responsibility for my own mistakes but I'm quite happy to be the beneficiary of other peoples"

Should be the thread title.

 

[Murrisk]

It's a tough situation to be in. If it was only 5k or even 10k i doubt they would put huge efforts into trying to enforce a judgement over here, But 80k is a lot of money.

What do you have to lose if they did try and do this? Do you own any other property that has 80k equity? It's a big risk to take if you do. It could be a family home. Were all part of the EU, if there isn't already then it wont be long before there will be something in place for international banking customers.

I think the other person meant by doing a deal that you approach them and try to come to an agreement. They could be willing to make a reduction on the 80k. If you just post the keys back you will have interest added and the solicitor fees added which could make it much more than the original 80k.

I wouldn't like to be in your situation having to pay back 80k and get nothing from it. Is there any way that you can keep paying for the next few years, Better to pay 20k and then get rid of the house than a judgement being made against you and having to pay 80k maybe even more.

That is exactly what I meant by doing a deal. I would take this matter just as seriously as if it was an Irish or UK bank and act in the very same way.

 

[Kemo_Sabe]

Oso, is it fair to say that you have now fundamentally revised your opinion of the Latvian market?

Quick profits may have gone but the medium to long term prospects look really good for baltic states. There is a risk that there may be some overheating in Latvia but if you're in it for the long term you will benefit from economic growth being experienced in these countries.

petard

hoist

end

 

[Oso]

Murrisk, i agree talking to banks is one way to manage this sort of situation. As long as it's not seen as immoral.

Kemo,with regards to my view of Latvia, I still believe growth in carefully chosen East European locations will be fruitful in the long-term. The current crisis is impacting people everywhere but when there is recovery Eastern Europe can be considered as high potential.

I guess you saw the whole crisis coming and kept it to yourself right?

 

[Kemo_Sabe]

I guess you saw the whole crisis coming and kept it to yourself right?

I saw the Irish crisis coming - I will confess I didn't see the worldwide blowup coming

I didn't invest in EE property as I make a point in not investing in markets that I don't understand. Given your lack of knowledge around debt enforcement in Latvia, I guess you were not quite so discriminating....

 

[cancan]

Great thread.
Proud to be irish after reading that!
Fair play Oso - can't keep a good smeculator down...

 

[Robin Banks]

Although 80K is a lot they are likely to sell the property in an auction for say half it's original value. So I would owe 45K. Question is will they ignore this. I have equity in my home to cover this sort of amount

I applaud your efforts to outright rob the Latvian/Swedish banking industry of €45,000 euro in spite of your stated ability to repay it.

My heart bleeds for you.