Consumer complaint received 2017-10-28
Company: Good Friend Mortgage Inc.
State: GA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Closing on a mortgage

Complaint:
I am writing to seek your assistance in investigating Good Friend Mortgage In., XXXX XXXX XXXX XXXX XXXX GA XXXX. I obtained the services of this broker in XXXX of XXXX in connection with my planned purchase of a property in XXXX, XXXX At the time, I was planning to put down as much as 50 % in cash and finance the remainder. Because I had challenging credit, the owner/broker XXXX XXXX engaged a lender she said would handle C category loans. They were known to me as XXXX out of California. I provided all proof as required, starting with a letter of explanation regarding my credit challenges and finishing with providing copies of all loans/obligations/previous mortgages that I had paid off in selling my prior home. On XXXX XXXX, XXXX I received an email from XXXX XXXX at Good Friend stating congratulations, your loan has been approved and listing items the underwriter required all of which were provided by me in a timely fashion. Everything was on track with the lender XXXX all along and post an inspection of the property that allowed us to renegotiate price down with the seller, a second loan processing stage took place. I was told again that I was approved by XXXX and we moved to a closing on XXXX XXXX. My own savings were in place and ready to transfer to the closing attorney the week of closing ready to close XXXX XXXX. However, despite repeated attempts to get the transfer in place, despite calls to the broker from my realtor and myself regarding confirmation that we were ready to move to close all week, we had difficulty getting an answer from Good Friend other than that we were waiting on final underwriter sign-off. Finally at XXXX on the day of closing, my broker XXXX XXXX called my realtor and me in a conference call to say that we could not close, as the lender XXXX was indicating that my loan was not XXXX compliant due to a small mistake she made on my app and they would not be able to sell off my loan if they financed. She emphasized that this was not a decision made because of my credit or anything I had or had not done. She also said that XXXX had stated there were issues with the paperwork that Good Friend had submitted on my behalf. The closing was off. 

Needless to say, it was too late to get other financing and although I obtained legal counsel to get advice on what to do about my {$5000.00} earnest money at risk, it was decided that the seller had not caused this default and the earnest money must be released or I risked additional lawsuits. I forfeited the deposit. I am now out of pocket for earnest money, and various fees which totaled {$5800.00}. Meanwhile Good Friend and XXXX have provided multiple different reasons for the denial of the loan. They are lying : reasons stated include the product was no longer available, my credit was not sufficient etc. From the day we spoke with her and were told about the XXXX non-compliance I have never seen that reason again. I feel broker and lender are attempting to hide their fault in this transaction. 

I have nowhere to turn. I feel that this mortgage broker handled the entire experience badly and it was because of their poor handling of all my paperwork that I lost the purchase opportunity and a significant amount of money. I have been advised by my realtor to contact your department and to ask you to open an investigation into Good Friend Mortgage, which was certainly no friend to me!

Company response to consumer: Closed with explanation