Product: Mortgage

In XXXX, I contacted Newrez to initiate a buyout assumption for the mortgage on a property I co-own with my friend. The goal was to transfer the loan into my name, removing my friend from liability. Throughout multiple calls and emails, I clearly explained our situation and was guided through the steps to complete the assumption. At no point was I informed that relationship status ( as non-relatives ) would make us ineligible. Based on Newrezs assurances, my wife and I made significant life decisions, including hiring movers costing {$1700.00} and relocating to the property, assuming we would keep the favorable interest rate of 3.2 %. However, a few days ago, over the phone, the loan officer handling our case asked if my friend and I were related. When I said no, he stated the assumption could not proceed because we are not relatives and expressed surprise that we had made it this far in the process, as our relationship status should have been addressed months ago. I was told the only way to remove my friend from the mortgage was to refinance, which would mean losing the current interest rate. This contradicts months of guidance from Newrez, who knew from the beginning that my friend and I were not related. Nowhere in their documents, communications, or website is it stated that assumptions are restricted to relatives. Their failure to disclose this policy upfront caused unnecessary stress and financial harm. Had we been informed earlier, we would not have moved or gone through this process. Additionally, I could find no legal requirement limiting buyout assumptions to relatives, suggesting this is an internal policy that should have been disclosed at the outset. This process has been unnecessarily stressful, and I believe Newrez should be held accountable for their negligence and misrepresentation. 

*********** UPDATE XX/XX/year> ************* Received letter from Newrez and will be attaching to new complaint. Called number located on letter, and customer service representative XXXX XXXX told me that he was unaware of a compliance department and had no number or email for me to contact. In response to this, the letter said : " We determined that your loan is not eligible for a buyout assumption where the parties are divorced, and the assuming party is already on the Deed but not on the note. However, your loan is eligible for a purchase assumption. A purchase assumption is an assumption where the property is being sold to a third party. The new borrower, who is not one of the original borrowers, takes over the mortgage from the current homeowner. '' There must be some confusion. A purchase assumption is not something that I will move forward with, as I am one of the original borrowers. I was told ( email attached ) that a buyout was something that we could utilize to remove the other party from the mortgage. We provided our buyout agreement and deed of gift ( which we were told we needed, again referenced in attached document ) and went through the assumption process. XXXX XXXX is no longer an owner of the home. With that all being said, please refer to the original complaint regarding your negligence and misrepresentation. I merely want to remove XXXX XXXX from the mortgage and retain the original interest rate. I do not want to be forced to sell my home that I already own. I am a 100 % XXXX veteran who can not work a job. I can not afford a higher interest rate. Please do the right thing here.