Consumer complaint received 2023-12-09
Company: LAKEVIEW LOAN SERVICING, LLC
State: CA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process
Sub-issue: Trying to communicate with the company to fix an issue while managing or servicing your loan

Complaint:
On XX/XX/2023 a tree fell on our garage because of a bad storm. We filed a claim with our insurance company and they pay this out the full amount allowed from our {$50000.00} detached garage coverage. Because the amount was over {$40000.00} the mortgage company had to be included on the check so we had to endorse the check and mail it to the mortgage company. We received the check XX/XX/2023 for the amount of {$49000.00}. I requested money from the insurance funds the mortgage company kept from us and put in an escrow account and they said they will not release any funds unless it is to a licensed and insured contractor. As a home owner in California, I am considered an owner builder so for me to fix the broken trusses on the roof of the garage would not require me to have a contractor license. They denied me my request for any amount and because I couldn't get a contractor to come get the tree out of the attic of our garage and fix the few broken trusses, a snow storm came and the weight of the snow completely caved in the garage and demolished the entire structure in XXXX. I asked again for funds to get the rubble taken down because we have children and the walls were leaning and could fall on someone and again I was denied. I paid a guy to cut up the tree in our backyard and the tree in the garage rubble and I asked to be reimbursed for the {$200.00} XXXX paid the guy to cut up the tree in XXXX. They finally sent an " inspector '' who came and took pictures XX/XX/2023. I finally received a check for {$2000.00} XX/XX/2023 for reimbursement and they called the garage 25 % complete even though nothing has been done towards rebuilding or even demoing the garage. I finally found a contractor who demoed the garage and spent thousands of dollars on labor and dump runs. The back wall and one side wall are able to be saved and built off of, so the garage is now completely demoed except for the two existing walls. I requested another inspection and they said the inspection failed and more repairs are required before any funds can be sent. How am I supposed to pay for further repairs without the insurance money that was issued to rebuild the garage? I am in debt with the contractor who has weeks of work and money into the demolition and they still refuse to release any funds after excepting the contractors estimate and signed contract which states they will be building off the 2 existing walls. It has almost been a year and still haven't started rebuilding do to Lakeview Subserviced by XXXXXXXX XXXX lack of care. If the garage was considered 25 % complete they should have issued a lot more than {$2000.00} I read the first check should be 33 % of the total funds. Lakeview XXXX XXXXXXXX is being ridiculous and completely unethical. How are we supposed to rebuild the garage with no funds?

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