Summary of loans transferred to NAMA

M

Marion

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Nama first loan transfers announced today, 30 March 2010:

1200 loans


| Institution | Book value{br} of {br} loans acquired | Value of securities {br} exchanged{br}for loans | Discount | Discount |
|
|Allied Irish Banks Plc|€3.29 billion|€1.88 billion|€1.41 billion |43%|
|Anglo Irish Bank|€10.0 billion|€5.0 billion|€5.0 billion|50%
|Bank of Ireland|€1.93 billion|€1.26 billion|€670 million|35%
|Irish Nationwide{br}Building Society|€670 million|€280 million|€390 million|58%
|EBS Building Society|€140 million|€90 million|€50 million|37%
|
|Total|€16 billion|€8.5 billion|€7.5 billion|47%

Only another 14,000 loans to take over!

Marion
 
This is just the first set of loan transfers, €16Bn of a total €81Bn.
 
Does it now follow that average house prices should be 47% below their peak?
 
These are the underlying assets for the €8.5 billion:


| Type of underlying asset | Value of securities {br} exchanged {br} for loans
|
|Investment property|€5.5 billion|
|Land (including development {br}less than 30% completed)|€1.3 billion|
|Hotels|€0.8 billion
|Development{br} (greater than30%{br} completed)|€0.5 billion
|Residential property{br} for resale|€0.4 billion
|
| Total | €8.5 billion |
www.nama.ie


Marion
 
shnaek said:
Does it now follow that average house prices should be 47% below their peak?
Click to expand...
I wouldn't hold your breath as there are concerns that if people think they are in that level of negative equity they will default on their mortgage. The flip side of that is first time buyers are not going to buy anytime soon as the watch prices slowly creep down.
 
shnaek said:
Does it now follow that average house prices should be 47% below their peak?
Click to expand...
I think that would be the case if they were all 100% mortgages. You can add another 10% at least if the average were 90% mortgage. [Although these loans are not all for residential related property.]
 
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