Keep away. The loans are often bad. Defaults, foreclosures, late payments, short sales. And when a loan is past due for the principal to be paid off because its term is over, but the mortgagor continues to make interest payments, they list the loan as current even though you don't get the principal returned until who-knows-when, if at all. Worse than junk.
BEWARE.
Worst platform to invest.
I had invested $22,000 in different notes.
Interest I received is $1756.78 and I lost $ 1600.
Peerstreet in my account says I made 5.6 % but they do not count money I lost.
The Peer Street experiment is coming to an end. I tested the waters with 7 investments.
5 of the 7 loans I invested in were delinquent or in default at one time.
I still have one outstanding loan that is in default.
One loan investment actually ended up a short sale, leading to an overall loss of the entire investment.
With one remaining loan investment it is unlikely I will break even.
I do not recommend Peer Street. There is no liquidity, loans are frequently not paid at maturity and the underwriting allows for large losses to investors. Peer Street made money just fine as they get paid regardless for managing the account and have no incentive to tighten underwriting.
Like so many have already stated their loan selection criteria is very bad. Out of 4 investments 1 paid off, 2 extended / renegotiated, and one in foreclosure. Also invested in other platforms over the same period and they were much tighter with their property selection with resulted in less options at times but in the end no foreclosures, no loan extensions and higher returns with better liquidity. Once my current investments run their course I will not invest on this platform again. I also highly recommend others to stay away.
Lock your account with no reason given - terrible Customer Support.
Many failed investments do not return money in time.
I do not recommend PeerStreet
There is an air of fraud in the operations of this company. There is no way that they are subscribing to accepted underwriting standards and yet have so many of their loans go into default. Reminds me of 2005 when the appraisers, underwriters, and lenders were all in cahoots. Anybody with a pulse was given a loan, and look how that turned out.
loaan
I am not satisfied with their customer service or operations as a whole. They are not a good lending partner and are continually putting customers into a worse position by not allowing them to payoff loans and not providing accurate payoff statements. They often breach their own contracts and will share your private information without your permission.
The Absolute worst place to put money into, I am certain the SEC will swoop in at some point and unravel this mess. Unreal how this place is still operational after so many loans are in default.
Per a very reliable source in the alternative lending space Peer street fails to negotiate and reposition loans that are in default with borrowers, which is obviously why so many loans are in default.
The worst Crowdfunding real estate experience I've had in my investing history. Default rates are incredibly high, and loans running well past maturity date are all too common. I will be incredibly lucky to recover my investment, much less make anything on it. I am winding this down as quickly as I can.
I have invested with PeerStreet since 2017 and for the first three years I was very pleased and the loans performed as anticpated. The quality of the loans has fallen substantially. I have approximately half of my investmets in default at any given time now. I also had two short payments despite the fact that the deals were said to have over 20% equity from the borrower in the deal.
peerstreet.com