Consumer complaint received 2017-09-09
Product: Mortgage — Conventional home mortgage
Issue: Closing on a mortgage — 
Company: Rocket Mortgage, LLC (MS)

My family of three lived in Arizona for 3 years- we rented in Arizona , and a transfer was coming available with my company in XXXX XXXX Mississippi XXXX We have a home in Alabama that has an FHA loan on it - as that was only loan I could get at the time. I did not think I could get approved for conventional loan on a new home with credit score of XXXX to XXXX and already paying on existing home. My wife and I talked, and decided could n't hurt to try- if we could n't get approved for conventional than we would just rent. So I reached out to quicken loans as we would need to move fast - I explained to lending agent in XXXX XXXX that we wanted to see if we could get pre-approved for conventional loan, I was not interested in FHA loan as I did not want to through away money paying for mortgage insurance that only protects the lender. That if we could get approved for a good interest rate and conventional loan we would do it - otherwise we would just rent. He said the government changed the standards on a conventional loan were as you used to need a credit score of XXXX that was not the case anymore. I told him we would be moving along way, and needed to give current landlord 30 days move out notice -and would need loan approved quickly - he said that 's no problem. He called me back, and said I was pre-approved for conventional loan of {$230000.00} at 4.14 percent but it would require XXXX down - I said I can get the money down no worries- I said so I want to be clear this will be locked in because we will be in a short window - I 'm flying down to Mississippi to work with realtor, and I will be working to buy house with what your telling me - he had me sign some papers and I headed to Mississippi XXXX I worked with realtor saw hundreds of homes then started negotiating with seller of the current home I bought. I flew back to Arizona, and continued to work through realtor to negotiate we told seller that it was a pre-approved loan, it would be conventional so no hassle - and they agreed to are offer price lower than what they wanted based on those two things. Then I get a call from lender agent at quicken loans he tells me great news I have been working with my manager and I can get you loan for 3.95 % and your down payment will be less. I said that is awesome news. When I got new paperwork ( keep in mind we already gave move out notice at current place - he had new tenants that would be moving in - but we still had time to find rental in Mississippi if needed. ) I get new paperwork that says your Hud loan - I stopped picked up phone and said what is this HUD loan stuff? He said it 's an FHA loan - I said I know what it is I have one in Alabama - and I told you that I did not want to go FHA - I would not I did t want to pay the mandatory mortgage insurance premium that only protects lender - I told you and I was specific - I was furious and could hear someone in back ground coaching him. I said who is that - he said my manager who helped get you better interest rate - I said put him on call. He joined and after listening to me rant about being clear on conventional loan only - he apologized for the breakdown on their end - that he was just looking for best rate- and was not told by lending agent that I would only go conventional because I did not want to pay for the mortgage insurance that only protects lender. He said the PMI/ MIP I said yes I 'm not doing that. He said well we can do conventional at 4.34 % interest and you will have to put down around {$22000.00} to {$28000.00} ... ... I said no no no that 's not what I was told ... this is bull - I negotiated for home based on the pre-approval your lending agent told me. After back and forth he said he could remove a point for my lower credit score - so they could do 4.18 % not 4.14 % and they could take off {$7000.00} of down payment required from me. I had put so much in to loan process, and negotiations with seller that I agreed. Then we pack up move have all are stuff in moving trucks staying in a motel in XXXX Mississippi the seller was ready, the realtors were ready, I was ready but quicken loans was delaying needing an employment letter from my company - a company I worked for going on 20 years. I had to jump through so many hoops to get proof of a new work location I would n't be reporting to until after we moved in to home. XXXX stressful ) now the best part when we went to closing and got ready to sign off on loan Quicken loans added the PMI/MIP mortgage insurance that I was VERY clear about. I was so XXXX this was a dirty last minute trick after the already failed shady switch to FHA loan. My family in a motel no home and all the money and time on inspections etc. I Had to cave so I would n't be on street. My plan was to report them just after closure in XXXX XXXX but some health issues have delayed me. So the stuck almost a {$200.00} XXXX mortgage insurance on loan - so I 'm paying for two policy 's and only one protects my intrest. I am beyond mad. This kind of lending practice is deceptive - and in know we should be acceptable. When I contacted quicken loans they said it could come off loan after 11 years, are if I would have put down 20 % the lending agent should have discussed this with me - I never would have pursued home purchase. So we 're did all the money I put down go?