Consumer complaint received 2023-03-16
Company: MANN FINANCIAL INC.
State: NV
Product: Mortgage
Sub-product: Other type of mortgage
Issue: Closing on a mortgage

Complaint:
In XXXX I purchased my property at XXXX XXXX XXXX, XXXX XXXX Nv, XXXX intending to have a modular home constructed and convert the property to my permanent residence. 
I started the process with the local modular dealer and construction company XXXX XXXX XXXX XXXX XXXX XXXX. Locally owned and operated by XXXX and XXXX XXXX. XXXX referred me to Mann Mortgage and particularly XXXX XXXX XXXX this is who they use for financing modular, and they had a very good working relationship. 
I blindly trusted and had faith in both entities. I deferred to their expertise and judgment, not having any knowledge myself, of construction loans, the process of modular builds, or the construction processes involved. 
I entered into a purchase and construction contract with XXXX and started the loan process with Mann Mortgage in XXXX of XXXX. The initial loan process was delayed. It took so long in fact that I needed a second credit check since the first was over the limit. When I asked XXXX and Mann Mortgage what was the reason for the delay, XXXX stated Mann Mortgage  wrote the loan documents wrong and Mann Mortgage  stated XXXX  sent the wrong information. Either way, both entities agreed a new set of documents was needed. I signed on XX/XX/XXXX. That same day the documents needed to be redone again as there were problems again. The first set had the wrong information, some information was not accurate and they needed me to sign again. The mobile notary had to come to my place of work at almost the close of business. When I returned to get my copies I was only given one set. 
XXXX promptly started the Draw process. The first draw was issued on XX/XX/XXXX. I was told numerous times over the next 12 months that my home was on order at the modular factory with various reasons for the delay. 
Meanwhile, every time I asked for documents or copies or details, I was referred to someone else. All parties appeared to be attempting to help but seemingly had no access to what I was asking for. XXXX referred me to XXXX XXXX or XXXX, XXXX referred me to XXXX or XXXX, and XXXX  referred me to XXXX or XXXX. 
My construction phase end date was XX/XX/XXXX. I asked initially about this date and was told it was simply an estimate due to a 6-month build estimate from XXXX. It was never explained that there was a limit on construction timing. Therefore, the date passed, and not one person ever made mention of it. 
A second Draw was requested on XX/XX/XXXX. The draw was authorized. Again, seemingly to me, this must be normal if Mann Mortgage is still issuing funding. Shortly thereafter I started to have more questions. I asked on multiple occasions for any paperwork related to my build. There was none. I started attempting to contact the modular manufacturer, who was vague, and in the end, told me that they do not deal directly with customers, I had to go through XXXX. I had been attempting to talk to XXXX for a year. My calls went ignored or my questions were referred to Mann Mortgage or the manufacturer. 
According to conversations with XXXX, XXXX, and several people at XXXX. 
The manufacturer required the full cost of the modular up front, at the time of order. However, the total for the two draws was more than the modular cost. XXXX told me many times they can not start any property construction or permits without the serial number from the modular to place on the paperwork. 
A year and two draws later all I had was words, a construction contract, a construction loan/mortgage contract, and payments for disbursed funds that had produced nothing. Not one spec of dirt was touched on my property. 
On XX/XX/XXXX XXXX contacted me by phone to inform me that the expiration/default/conversion end date of my construction loan was in two months on XX/XX/XXXX and no extension was available. I was in shock and very confused. Numerous questions led to further questions that have never been answered to this day. 
Why were any funds disbursed without proper documentation? 
Why was a second draw issued when there was no progress from the first? 
Why was a second draw issued if the construction phase deadline was already 3 months expired? 
Why was a second draw issued with no plausible time left to start and complete the project prior to the construction/home conversion date? 
Where were the funds? 
Why do they keep having property inspections when nothing is or has been ordered? 
Upon asking these questions and more it was noticed in XX/XX/XXXX, that Mann Mortgage did not have the second draw ( XXXX of XXXX ) wire transfer receipt documentation from XXXX homes. 
The mobile home manufacturer never had an official order with deposit payment for my home. 
As I tried to sort through the confusion with no sense of what I was doing, I had various phone calls, emails, and text messages trying to get documentation of any sort, answers, understand the process, follow instructions, and contact the next person as instructed. During the numerous communications with XXXX and XXXX, on XXXX XXXX XXXX XXXX XXXX 
XXXX XXXX, on XX/XX/XXXX XXXX had advised me to write a letter to XXXX requesting they return all funds. I followed those instructions. None of my contacts produced any factual answers, explanations, or records. I had asked several times whats next? or where do I go from here? What happens now? The only answer from XXXX was to draw up new documents for a second close. 
I decided a face-to-face meeting with XXXX would better obtain an understanding of the chaos. At the time of that meeting, XX/XX/XXXX We were waiting to see if the funds would be returned by XXXX. XXXX was still thoroughly insistent that I must go into a second close he stated four times during the meeting this was the only option. When asked why is it the only option, his reply each of the four times was because XXXX XXXX and XXXX XXXX wont allow it. My question, still at this moment, is allow what? XXXX never explained to me what was the purpose. He did explain when asked that there would be additional fees for another closing and that if I failed to make my payments Mann Mortgage would take my property that was used as collateral. 
We were already past the point of no return.

He knew there were no contracts, documents, work orders, or receipts provided by XXXX  to support the draws.

He knew the modular manufacturer did not have my funds. 
He knew my home was not in order or build phase at the manufacturer. 
He knew that XXXX had not touched 1 spec of dirt on my property.

He knew that the contracts I did have were all expired with nothing produced.

I had proven that my construction funds were misappropriated to which he became angry and refused to discuss.

He in fact stated more than once that I would need to retain an attorney.

I had asked if this build loan could be renewed or two-time close with a different contractor and modular dealer he said no. So why a two-time close? The meeting ended because XXXX needed to eat lunch. He had said he was hungry many times after he realized I was not going to do a two-time close. I had waited 11 days for this meeting that was pre-scheduled for XXXX. He should have planned accordingly. 
Given the direction of the meeting and the facts discussed, Im still confused why he kept insisting on a second close. 
I left that meeting still confused. XXXX said he would call XXXX XXXX with my questions after he ate. I was to call him in a few days. XXXX said he was my advocate in this mess and that he would get answers. 
Why were the funds disbursed without proper documentation? 
Why were funds dispersed a year apart without progress? 
Is there any documentation to support any funds being drawn? 
He questioned why a well had not been Bid on or contracted When I called a few days later he simply said oh, what were your questions? I don't remember that. 
The following week XXXX sent me a form to sign before they would return the funds. The form falsely stated that I had voluntarily terminated my building contract with them. I refused to sign the form. XXXX then requested that I sign it. He stated to me in an e-mail that he needed it for his file in case of an audit. 
Now that the money is all returned, I have been given several different sets of numbers that I must pay to close out my loan and remove the lien from my property. Those have included the entire escrow, title, and closing costs, or variations of numbers within. I have been told again, to contact another party, another party, for clarification. 
I've already been paying on this loan for 18 months. Why must I pay more closing and title fees for a project that was never started? 
Now that I finally received, from the title company, both sets of documents signed the totals are not the same. I was told the only difference was particulars from AJ construction. On XX/XX/XXXX, XXXX XXXX has given a final closing/escrow costs owed of {$11000.00}. I am being told by him I must pay this, in addition to the payments already paid on the loan for 18 months before it can be closed out and the lien released on my property.

This entire situation has been mishandled from the beginning. I had an opportunity for an excellent rate which no longer exists in the market. As well, my life has been held up far too long and now I must wait for others again to decide what payoff will be needed before the lien is removed from my property so that I can start over with different companies. At this point, I have been advised by several parties, and I agree that I should receive a refund of all fees paid and be relieved of any further charges. The lien on my property should be released immediately.

Company response to consumer: Closed with explanation