Vultures are Private equity funds that purchase non-performing or distressed loans at heavily discounted prices, which are eventually sold at exponential profits.

Even though they purchase at a huge discount, these vulture funds are attractive prospects for banks as they can clear non-performing loans off their books.

Banks have been ensuring they demonise debtors by calling them strategic defaulters and non engagers. This is designed to portray them as bad and lesson the public sympathy when the banks sell them to a vulture fund. The truth is most have engaged and the bank have assessed them and shown they cant afford their mortgage.

These loans normally relate to real estate i.e. commercial or residential property. Vulture funds purchase these loans with the aim of taking charge and possession of the asset, through either a Receiver or the courts. They aim to sell the properties quickly to turn a profit in a short time frame. These funds prey on weakness in the mortgage system for commercial gain, ignoring the human suffering.

Irish banks are willing to sell these debts in bulk for under their market value in order to clear t he debt from their balance sheets and remain operational and profitable.

Many homeowners did not realise they were vulnerable to these vultures. It was only when banks started selling residential loans to these vultures that homeowners were made aware that their banks had the legal right to sell their loans without their permission.

VULTURE TAKE-OVER 2016-1019

Vultures are after a series of loan-sales one of the dominant groups in the Irish housing and commercial property market.  Since 2016, the centenary of the Easter Rising, vultures have acquired just under thirty billion Euros (€29,746,000,000 million) of Irish property. In an indication of how the state works hand in glove with vultures one of the top sellers to vultures have been NAMA. We have, by stealth almost, in terms of property and family homes become a colony of the vulture funds … a vulture nation. The figures below are documented proof of Irelands vulture take-over.

Vendor Purchaser Period Asset Class Performance Loan Balance (million)*
NAMA Oaktree 2016 Q2 CRE/Resi Non-Performing €2,200
NAMA Oaktree 2016 Q2 CRE/Resi Non-Performing €2,500
Danske Bank Cerberus 2016 Q3 Residential Non-Performing €300
Lone Satr Bank of Ireland 2016 Q3 Residential Re-Performing €640
NAMA Cerberus 2016 Q4 CRE/Resi Non-Performing €3,050
Ulster Bank Cerberus 2016 Q4 SME/Resi Non-Performing €2,500
KBC Cabot 2017 Q1 Residential Non-Performing n/a
AIB Goldman Sachs 2017 Q2 Residential Non-Performing €400
Danske Bank Pimco/Goldman Sachs 2017 Q3 Residential Performing €1,800
Loyds Banking Group Barcleys 2018 Q2 Residential Both €5,000
AIB Cerberus 2018 Q2 CRE/Resi Non-Performing €1,000
PTSB Pepper 2018 Q4 Residential Non-Performing €1,300
PTSB Lone Star 2019 Q1 Residential Non-Performing €2,200
AIB Cerberus 2019 Q2 CRE/Resi Non-Performing €3,000
Rabobank GS, Carval, Cabot 2019 Q2 Residential Both €800
Ulster Bank Carval 2019 Q3 Residential Both €2,200
Ulster Bank Cerberus Not Complete Residential Non-Performing €1,400
PTSB Lone Satr Not Complete Residential Non-Performing €506

*estimated loan balance - some sales include both PDH's, BTL's and commercial where the breakdown has not been disclosed