 GonePremium
join:2011-01-24
Fort Erie, ON
kudos:3
 ·Start Communicat..
| reply to Ian
Re: LOL Investors Of Trump Tower In Toronto Got Swindled! said by Ian:Spiffy. Is that what we're talking about here in this thread? Nope. said by Ian:
when the business plan for that commercial venture is "I want to buy a hotel room. I'll be paying the lending costs from the people that shell out $600 a night to stay in the room."......the banks aren't going to be lining up to do so.
Did you demonstrate any knowledge about what is involved in getting a commercial mortgage before you made a blanket generalization about what a bank would look for before approving something like this? Nope. |
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 IanPremium
join:2002-06-18
ON
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 ·Rogers Hi-Speed
| said by Gone:said by Ian:Spiffy. Is that what we're talking about here in this thread? Nope. said by Ian:
when the business plan for that commercial venture is "I want to buy a hotel room. I'll be paying the lending costs from the people that shell out $600 a night to stay in the room."......the banks aren't going to be lining up to do so.
Did you demonstrate any knowledge about what is involved in getting a commercial mortgage before you made a blanket generalization about what a bank would look for before approving something like this? Nope. No. But I did read the thread and related links well enough to know that the issue here isn't people with long-standing commercial relationships with banks and hotel operations. People who assumed that they could finance the ridiculous deal with pie-in-the-sky room rates that never materialized. It's about people wanting a loan that can't be repaid.
quote:
“One mortgage company asked me, ‘How could I give you a mortgage on a property that is losing money every single day?” said one devastated buyer, a blue-collar worker who borrowed the $175,000 down payment from his immigrant parents and owes $750,000 at month’s end."
How indeed? Reading. Not just for squares. Most of the rooms in the hotel, are, I suspect, well-financed (or paid for outright). This topic is about the exceptions.
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“Any claim that the root of a problem is simple should be treated the same as a claim that the root of a problem is Bigfoot. Simplicity and Bigfoot are found in the real world with about the same frequency.” – David Wong |
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GonePremium
join:2011-01-24
Fort Erie, ON
kudos:3 Reviews:
·Start Communicat..
| Dude, I was just pointing out that your assessment of what a bank would do when presented with a commercial mortgage was one-sided not as cut and dry as your comment made it out to be. That's why exceptions exactly like this occur. If a bank thinks they'll make money on a commercial endevour, they'll give out the money - end of story. Relationships and gut feelings from loan officers are a big part of the process in getting a commercial mortgage. The same logic one would use when thinking about how a mortgage is granted for a house doesn't apply in the commercial world.
No need to get pissy, Ian. The world isn't out to get you. |
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IanPremium
join:2002-06-18
ON
kudos:1 Reviews:
·Rogers Hi-Speed
| said by Gone:No need to get pissy, Ian. The world isn't out to get you.
The world? No, but you seem to be trolling me at each and every opportunity, for whatever reason.
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“Any claim that the root of a problem is simple should be treated the same as a claim that the root of a problem is Bigfoot. Simplicity and Bigfoot are found in the real world with about the same frequency.” – David Wong |
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 TLS2000Crazy CanuckPremium
join:2004-02-24
Mississauga, ON | I don't see him trolling you here. He's correctly engaging in debate about how banks will provide business loans, which you started.
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Tom |
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IanPremium
join:2002-06-18
ON
kudos:1 Reviews:
·Rogers Hi-Speed
| said by TLS2000:I don't see him trolling you here. He's correctly engaging in debate about how banks will provide business loans, which you started.
I take exception to being called being pissy, when all I was doing was replying in that vein. Tomato/To-mah-to.
But fair enough. Possible that I'm carrying annoyance from behaviour in numerous other threads here in an unwarranted fashion.
I for one, wasn't engaging in a giant debate over commercial financing. I was talking about the people (i.e. the topic of the thread) with little collateral trying to get a loan to finance a room when the numbers are based off of hotel room rates from an alternate reality. It should be no surprise to anyone that a bank isn't going to give a person a commercial loan with only the property itself as collateral when the income from that property can't even cover the interest on the loan, and that the value of the property itself is likely way over-priced. A bank is going to say... "OK, so this guy defaults, and I have to sell this room. Can I get the $750,000 back in a timely fashion by selling it?" No? OK then, loan denied. Hence here we are.
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“Any claim that the root of a problem is simple should be treated the same as a claim that the root of a problem is Bigfoot. Simplicity and Bigfoot are found in the real world with about the same frequency.” – David Wong |
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GonePremium
join:2011-01-24
Fort Erie, ON
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said by Ian:The world? No, but you seem to be trolling me at each and every opportunity, for whatever reason. Oh brother. Paranoid much? 
It may come as a shock to you Ian, but you're really not that important to me. |
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 DustynPremium
join:2003-02-26
Ontario, CAN
kudos:10 | reply to Gone
Re: LOL Investors Of Trump Tower In Toronto Got Swindled! whoops...wrong thread...  |
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