What happens if a borrower defaults?

Back to Articles 6 March 2025 1 minute read

If a borrower defaults, CrowdProperty (as Security Agent) will determine the most appropriate recovery strategy for the collective benefit of investors. Options include agreed extensions, appointing receivers/administrators and enforcing the first charge to sell the secured property. Recoveries are applied first to enforcement and professional costs, then lender/recovery fees (where applicable), with any remainder distributed to investors pro‑rata. Outcomes are not guaranteed and losses may occur.

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