Four loans in default in 2025
Four loans in default in 2025. Started investing in 2022. They claim they underwrite these loans at 60 to 65% loan to value. When a default happens it sounds more like they were underwriting them at 80 to 95% with the payoff on liquidation being very dismal and not happening as of yet on any of these defaults still in limbo with $100,000 hanging in the wind.
By PAUL B.
Response from Ignite Funding· Jan 14, 2026
We understand how frustrating it can be when a loan does not perform as expected. However, it’s important to remember that these investments are collateralized. Once the foreclosure process is complete, investors will take ownership of the property and can sell the asset to help recoup their principal. We will continue to diligently pursue a resolution to all loans and keep you informed of the progress throughout the process.