Consumer complaint received 2015-08-21
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Application, originator, mortgage broker — 
Company: MORTGAGE FINANCIAL SERVICES, INC (MA)

Attached are some emails I sent to Financial Mortgage and XXXX XXXX. XXXX told me that a lender approved the unit we eventually bought, his delay resulted in a delay that caused us significant incremental costs. We waited for 8 weeks with Mortgage Financial to reject the loan based on issues with the condo docs. A condo that was approved by XXXX other lenders. The delay caused us to pay a higher mortgage rate ( rates increased while we were stuck waiting for Mortgage Financial ). We also paid storage fees, hotel costs and other expenses. 

Hello XXXX, Thank you for the response. I understand the reason for the loan rejection. That is not the basis for my complaint. The basis for my complaint is that on XXXX XXXX, 2015 XXXX told me ( via text ) and through other correspondence that the bank had approved XXXX XXXX as a property they would loan against. I have numerous texts and emails indicating the imminent approval of the loan. It was not until the end of XXXX when the rejection was given to me. The reason for the rejection given did not coincide with the information provided by XXXX in XXXX and in subsequent texts and emails. There are other examples of how this entire loan was miss-handled by XXXX from the beginning. XXXX of which you mention early in your email, XXXX submitted the original loan through XXXX. He never should have done that in the first place, the questionnaire provided to XXXX provided a clear indication that a portfolio loan would be required. At the three week mark of the process XXXX contacted me to say that there was a problem because of a change in the answers on the questionnaire. This was a false statement by XXXX. There was no change in the questionnaire, XXXX 's indication of a change was false and lead to the initial waste of over three weeks ' time. 

After XXXX sent me the rejection, I had a choice of XXXX lenders that were ready to loan against the XXXX XXXX XXXX, and all had answers with XXXX hours of the property as a viable property. The almost eight weeks it took Mortgage Financial and XXXX XXXX to miss-handle this loan process resulted in the significant delay which coincided with a period of time which saw interest rates increase. I lost the opportunity to lock into a lower rate. I also had significant incidental costs associated with storage fees and incremental housing expenses I should to be reimbursed for. 

I subsequently applied with a different lender which was able to validate XXXX XXXX as a property they would lend against within XXXX hours and we closed within 4 weeks. Since then, there have been XXXX additional units closed on the XXXX, most with various lenders that also were able to find funding. 


Because of the wrong information given to me by XXXX ( which I have in text and emails ) we held off on applying with an alternative lender until we received the rejection from XXXX. This delay resulted in incurring significant financial losses, which I already outlined in a previous email. 

I will be filing an official complaint later this afternoon. 

Regards, XXXX XXXX________________________________________From : " XXXX XXXX '' XXXX ; XXXXXXXXXXXX XXXX ; To : XXXXXXXXXXXX : Thursday, XXXX XXXX, 2015 XXXX XXXXSubject : Mortgage LoanDear XXXX XXXX, We are in receipt of your correspondence to XXXX XXXX and offer the following response to you. 

While we understand your frustration and disappointment at being unable to complete a transaction with Mortgage Financial, we can not accept responsibility for the inability to consummate your loan as Mortgage Financial acted in good faith and within applicable regulations as it relates to your transaction. 

The denial of your loan was based not on your creditworthiness, but rather the acceptability of the condominium project as defined by the XXXX mortgage market and specifically XXXX XXXX. XXXX