This info found in Tan Kin Lian's Blogs may be useful to you.
http://tankinlian.blogspot.com/2008/09/ ... -scam.html
Tuesday, September 16, 2008
Is all landbanking a scam?
Comment posted in
www.theonlinecitizen.com
Is all Landbanking a scam? Every case in the UK so far has proved to be.
In the UK you can say Land Banking is a scam and the papers often do because there are many thousands of cases of good people losing all their money. There are no audited cases of end plot investors being successful . One of the biggest
property booms ever just ended at the end of 2007 in the UK so you would expect that there should have been some plot based land banking success in 2006 and 2007 but there was none.
Many of the Land Banking companies with similar names to those now operating in Singapore offering UK plots have been shut down in the UK by the FSA and are NOT allowed to offer those plots to people living in the UK.
As a Brit let me say this. Imagine I was offered plots on the Padang in Singapore by a UK company that was not allowed by MAS to operate in Singapore. Would you Singaporeans suggest it as a good investment ? It is open land in the middle of the city. Ideal for building on and Singapore is short of building space. Would you expect the Singapore government to protect a stupid foreigner who made that investment ?
Dont invest in what you dont understand.
Posted by Tan Kin Lian at 6:48 AM
12 comments:
nurulh01 said...
i do wonder whether they are scams too.
was invited to go for a talk for this company owned by 2 sporean ladies, some international name company..jardin smith or somthing like tt...
they promoted late in durham, UK.
was very tempted to signup but my parents were against it..
so instead i just collected the free shopping vouchers and gifts from Harrods that they gave out to all those ppl who met up w them..
my question is..has anyone else had any involvement w them and if yes, how did it go?
-nurul-
http://luxurycarsrental.blogspot.com/
September 16, 2008 3:50 PM
David said...
These fraudsters know how to play on the psyche of Singaporeans. They know that land and landed properties are beyond most Singaporeans to buy or afford here. Hence by telling them that it is good, cheap or has potential in foreign places, many will be sorely tempted. Of course you know what is the outcome.
Remember there was also at one time investment in ostrich farms being promoted here? Or to own beautiful resorts? What else is exotic?
September 16, 2008 8:05 PM
Winny said...
How about land banking in US and Canada? Heard of Walton International?
September 18, 2008 8:19 AM
Anonymous said...
Yes, Walton Int is in its 29th year in 2008. Their interest lies in Canada and USA. In the last 28 years, they have not lost any of their clients' money. (according to agent of course) With low US$ now, it may be a good time to put some money in here. Cos other than the potential gain in the appreciation of land value, there's also te forex to gain. Of course the opposite is true as well. Decide for yourself.
September 25, 2008 1:37 AM
Chris said...
I know nothing about Canadian or American Landbanking but the fundamental problem with typical UK land banking plots is this. Your primary investment is NOT in land.
The bulk of your investment is in a proposed service. If that service is never delivered or is not successful you are left with a pretty much worthless asset. The time frame for service delivery is always suggested but never contractually defined.
Typically the current real asset value of the land plot you buy is less than 10% of the total land banking investment you make. In some cases the land value is as low as 1% to 2% of the investment.
The 90+% balance goes into the land banking companies pockets. They say they will try to obtain planning permission and suggest that it is highly likely they will get it quickly. The small print always says otherwise.
To the best of my knowledge no company offering UK land plots has obtain planning permission for any offered plots. A large number of the companies have either been closed down by the FSA or run away with the “service fees”
