Consumer complaint received 2017-05-24
Company: AMERICAN ADVISORS GROUP
State: CA
Product: Mortgage
Sub-product: Reverse mortgage
Issue: Closing on a mortgage

Complaint:
I have a complaint against  AAG a nd,  XXXX   XXXX   | S enior Processor TEAM  XXXX  AMERICAN ADVISORS GROUP  XXXX  ID :  XXXX  Phone :  XXXX  ext.  XXXX  | Fax :  XXXX  Direct :  XXXX  Email :  XXXX  XXXX  XXXX  Address :  XXXX   XXXX   XXXX   XXXX ,  XXXX   XXXX ,  XXXX , CA  XXXX  We have been trying to proceed with a reverse mortgage for many months. We stared in  XXXX     2016 ;  what is taking so long??? It seems that we have requirements that are not or seems not to be relevant to a loan or the reverse mortgage. We have to clean baseboards and floors after the appraiser has already reinspected our property once.     Now we have to have the foundation inspected at a cost of {$620.00}, after the appraiser reinspected our property and passed the crack repairs to the exterior wall. After looking at the reverse mortgage handbook provided by HUD / FHA i do not see any mention of cleaning requirements. Why is this necessary according t o AAG a nd  XXXX   XXXX ? We have taken the counseling class twice becaus e AAG is so s low to process the loan. {$150.00} total cost of {$300.00}. IN FACT THE FOUNDATION INSPECTION IS BEING PAID FOR BY US IF IT IS INCLUDED IN TH E MORTGAGE FUNDING.      No need for foundation inspection at a extra cost of {$620.00}, does AAG make extra money or kickbacks for ordering multiple inspections?        XXXX   XXXX ,  Senior Processor Fu rther information : To answer your questions.     You are not paying for the foundation inspection out of the loan. However, I am required to get a card to put on hold in the even you decide to back out of the loan or the loan does not go though. I am required to clear your loan before beginning repairs so that there is minimal risk of not getting the final approval after the work has been done.     I see you are already working on the boards and cleaning the flooring. I would like to explain why. The stains and substances could potentially be a hazard to the property. In order for FHA to insure the loan the property must be to their health and safety standards. We have to play by their rules considering this is an FHA insured loan.     Value of your home- We have a set appraised value to your home already done by a licensed  appraiser. I believe your loan officer h as gone over that with you. Unfortunately, sites like  XXXX  and other real estate site do not give accurate lending values and can not be used in any professional lending institution.     Please make sure all your mortgage payments are made as you usually have them done, until the loan has funded.     I hope all is well and will continue to work on your loan on this end and please let me know once the work has been completed regarding the stains and I will send the appraiser out to sign off on it.      XXXX   XXXX  | Senior Processor TEAM  XXXX  AMERICAN ADVISORS GROUP  XXXX  ID :  XXXX  Phone :  XXXX  ext.  XXXX  | Fax :  XXXX  Direct :  XXXX  Email :  XXXX  XXXX  XXXX  Address :  XXXX   XXXX   XXXX   XXXX ,   XXXX   XXXX  ,  XXXX , CA  XXXX

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