Consumer complaint received 2018-01-11
Company: RoundPoint Mortgage Servicing LLC
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
On XX/XX/XXXX, we requested Roundpoint to remove our PMI, and requested an appraisal to be done. Being a licensed XXXX XXXX, I am aware of the current comparable sales in the community and was confident that our property would appraise at a point where it would meet the LTV to at least 80 %, given the upgrades we had done. 

On XX/XX/XXXX, an appraiser came to our home to do her appraisal. 

On XX/XX/XXXX, we received a letter from Roundpoint that our request to remove PMI was denied due to the LTV based on the original and current property value does not meet the agency/investor eligibility criteria. It also noted that the principal balance of our mortgage loan has not reached 80 % of the original value of the property. Based on the appraisal, our home was valued at $ XXXX, which is lower than what we anticipated, with a loan balance of $ XXXX. A similar home ( same plan ) backing a street with an upgraded backyard, which we also do, sold at $ XXXX, and another home with the same plan sold at $ XXXX. Our home should have appraised at $ XXXX at a minimum. I called the lender and requested a copy of the appraisal, since I would like to dispute the value it was appraised at. I was told that I should get a copy electronically within an hour. Days passed and did n't get a copy. 

On XX/XX/XXXX, I called the lender twice and requested an electronic copy of the appraisal explaining that I never received a copy from my original request. I was told that I should get it within 48 hours and not after an hour as I was told previously, since it needed to be requested from a 3rd party. I waited and waited, but nothing was sent in my email. 

On XX/XX/XXXX, I called the lender again and mentioned that based on our recent mortgage payment in XX/XX/XXXX, our loan balance has dropped to $ XXXX, and with the appraised value of $ XXXX, we should be able to get our PMI removed. I was told that it could not be removed because it does not meet the agency/investor eligibility criteria of LTV at 75 %. From the time we signed our loan documents for the purchase of our home in XX/XX/XXXX, the PMI was disclosed to be removed when we reach LTV at 80 %. Mortgage servicers must give borrowers an annual statement that shows whom to call for information about canceling mortgage insurance, but we do n't remember having received anything form Roundpoint regarding a requirement of 75 % LTV. This lender was not the original lender we obtained the loan from. It was sold to them shortly after we closed on our purchase in XX/XX/XXXX, from XXXX XXXX XXXX, followed by XXXX, and finally, we ended up being serviced by Roundpoint. 

We are therefore requesting assistance to get Roundpoint to remove the unnecessary PMI from our mortgage payment, as they are currently basing the eligibility from the agency/investor criteria, instead of what we were told when we obtained mortgage loan. Additionally, Roundpoint has not provided us with a copy of the appraisal report, as requested.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation