Consumer complaint received 2021-10-12
Company: UNIVERSAL LENDING CORP.
State: CO
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
Hello, I am a First-Time home owner and purchased the property XXXX XXXX XXXX XXXX XXXX XXXX XXXX through Universal Lending XXXX XXXX and received down payment assistance through the Colorado Housing Assistance Corporation ( CHAC ) in XXXX of XXXX. Universal Lending Loan Number : XXXX ; CHAC  account : XXXX I lived there for only 6 months due to constant neighbor issues. I was working for XXXX XXXX  as an XXXX XXXXXXXX and was working from home at the time due to COVID-19 stay at home orders. I was faced with bizarre behavior from my next door neighbor with serve mental health issues who began to harass me, neighbors with XXXX XXXX disturbances, and another neighbor who told me he has been accused of exposing himself and admitted to leaving me odd gifts at my door. 

I attempted to get fellow neighbors, the HOA and even the police involved with no results. I even attempted to file a restraining order against the neighbor harassing me, but the courts found I was not in any physical danger. Out of desperation, I felt I had no choice, but to flee my home and decided to rent-out the property I newly invested in. 

In XXXX of XXXX, I moved out of this unit and occupied it with my tenants XXXX XXXX, XXXX XXXX, who had a Co-signer XXXX XXXX. Both XXXX and XXXX assured me they had jobs and were looking to repair their credit. I accepted them only because as I was desperate to move and they had a co-signer. I thought all was well. 

However, I quickly realized who I was dealing with as both XXXX and XXXX would come-up with off-the-wall excuses why they would not be able to pay rent. This began the very first month when XXXX declared he did not understand how a routing number works and could not send me rent. Despite this, I provided him specific instructions on my XXXX XXXX  locations, members who I spoke with who could assist them, offered to pick-up money orders in person, and the excuses continued and payments began being paid 28 days late. I even outreach the co-signer advising she would be responsible for payments if not made, but that did not appear to help. 

XXXX and XXXX did not claim a COVID-19 hardship, but I could not evict them due to the halt to evictions moratorium in Colorado. I attempted to follow every procedure on issuing a demand letter myself with all supplemental documentation. The tenants refused to sign any documents I gave them. I then had a Real Estate Firm create and issue a demand letter for me. Despite this, I was still not receiving payments until the XXXX or XXXX of each month. 

Given the uncertainty of that time, I genuinely feared of foreclosure as their payments continued to be late and their excuses were worse and worse. At the time, I had no idea there was a halt to evictions as well as a halt to foreclosures. The XXXX County website did not display this information, my real estate agent did not inform me, not my lender, nor did the law firm I was working with. 

Therefore, I asked Universal Lenders for a " forebarance '' on my mortgage. Due to tenants consistently paying late and unable to evict them, I felt this could provide me some time to sell the home and walk away. I worked with realtor XXXX XXXX with XXXX XXXX who originally worked with me to purchase the home. She was assisting me with this difficult situation free of charge. 

However, when XXXX and I put the Unit on the Market, my tenants retaliated and would deny entry for potential buyers and began making false claims that I would trigger " XXXX XXXX XXXX '' if people came into the unit. XXXX in particular feared they would be evicted if I sold. I informed them that I was listing as tenant occupied. We had few buyers during that time. 

In desperation, I outreached a limited liability company XXXX XXXX XXXX  XXXX  XXXX. I described my situation and advised I just wanted to walk away from this property and the enormous stress that this was causing me. XXXX XXXX XXXX XXXX  XXXX advised they would take over my payments, with the debt in my name, preventing foreclosure and they can evict the tenants. Relieved a followed their instructions unknowing the devastating life altering consequences that would follow. 

In XXXX of XXXX, I was advised to go to XXXX XXXX XXXX  to sign all paperwork for this deal. XXXX XXXX XXXX XXXX XXXX did not send a representative and I signed documents with XXXX XXXX XXXX member XXXX XXXX. 
Afterwards, I felt relieved and happy I did not have to concern myself with this property, but things did not improve. Unaware, they instructed me to sign Title over to them. As a first time homeowner, I literally did not understand what this meant and just followed their instructions. 

XXXX XXXX XXXX XXXX  XXXX was not paying my Mortgage timely and were waiting until the tenants would pay them on the XXXX to XXXX of each month. I know this, as we have access to the same Universal Lender profile where they make payments on my behalf. 

I brought my concerns to the owner XXXX XXXX, but he became hostile claiming he would sell the property back, if I paid him for 3 months of Mortgage payments he falsely claimed to be his own funds. XXXX also appeared to become upset if I mentioned I would be communicating with my Lender. XXXX also advised he might sell the property maybe in 6 years. 

In XXXX of XXXX, I went to Universal Lenders for advice. I was then informed through my Loan Officer, XXXX XXXX, that my actions were in violation of their contract. I was to stay in the unit for at least 1 year before renting it out. Also, signing Title without their permission would cause them to Foreclose on me. I admitted to my mistakes and was awaiting next steps. However, they never happened. 

Given my XXXX and uncertainty of the situation, I outreached their customer service line and was eventually connected with XXXX XXXX Vice President/ National Production Manager on XX/XX/XXXX. We had an hour long conversation of my situation and she was advising a possible foreclosure, but would confer with her CEO. I provided her documentation of the Sales Contract from XXXX XXXX. She informed that despite my actions, the CEO felt that it was in the best interests not to foreclose due to payments are still being paid ; even if they are late. 

This crushed me, as I realized that XXXX XXXX XXXX XXXX XXXX could literally have the debt in my name for the rest of my life if they wanted to. I only make {$40000.00} a year and with my debt to income ratio, I could never qualify for a Home Loan ever again. The Lender will not enforce their own clauses and my financial life is over. XXXX XXXX XXXX XXXX  XXXX will literally allow the Mortgage to be paid on the XXXX or XXXX of each month and this has hurt my credit and no one will do anything about it. 

In XX/XX/XXXX, I outreached XXXX and XXXX and was connected with a Real Estate Attorney XXXX XXXX. I paid a {$2200.00} retainer fee and sent all documents requested for my case. XXXX then began to attempt to negotiate, but I was advised this was not working. He then suggested Demand Letters be sent and that has been exhausted. XXXX now claims he is " unsure '' if I even have a case and advised me to have a consultation with another Litigation Attorney for a second opinion. If I the pursue, they are asking for an additional {$2200.00}. I feel they sucked me dry and walked away as well. 

In XX/XX/XXXX, I outreached XXXX XXXX again XX/XX/XXXX. I remined her of my Loan and she recalled she did not even read the purchase agreement, but gave passed along what I said to their CEO. She claims it is not in the best interest of their company to foreclose on me as long as payments are being made. 

I am literally thinking about XXXX. I am single, I have no financial partner and I make {$40000.00} a year. No one seems to care nor wishes to help. I outreached a Financial Counselor today through XXXX XXXX advising me to outreach you to at least report this.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation