Consumer complaint received 2024-08-23
Product: Mortgage — Conventional home mortgage
Issue: Closing on a mortgage — Changes in loan terms during or after closing
Company: Guild Holdings Company (MA)

I submitted an offer on a home in XXXX, RI on XX/XX/XXXX. 

I initially submitted the offer with a pre-approval from XXXX XXXX XXXX XXXX and their 0 % down payment mortgage loan program. 

XXXX XXXX from Guild Mortgage contacted me on XX/XX/XXXX and asked me if I anticipated making any offers on homes. I informed him that I submitted an offer on the home and asked whether Guild Mortgage offers any loans with 100 % financing, such as XXXX XXXX does. XXXX informed me that they have Rhode Island Housing, who offers assistance. He stated that he will review and be back in touch with me. 

On XX/XX/XXXX, XXXX sent an email, stating that we are eligible for the conventional RI Housing loan which would also include {$15000.00} in down payment assistance. I replied to him and asked to confirm that we qualify for the {$15000.00} despite not being first-time homebuyers. 
He replied and stated that there is not a first-time homebuyers requirement for the conventional program and the {$15000.00} assistance. 

On XX/XX/XXXX, we submitted a new Offer on the home in question and tailored it to the terms that XXXX offered and advertised to us. 

On XX/XX/XXXX, I was asked to sign the 15kDPA Loan Program Acknowledgement by XXXX XXXX, who is the Loan Processor. We signed this form. 

On XX/XX/XXXX, XXXX XXXX, who is the Loan Processor, asked us to complete the Homebuyers class through RIHousing ( ehomeamerica.org ). We completed this and provided the certificate. 

On XX/XX/XXXX, XXXX XXXX called me at XXXX and informed me and informed me that the underwriter informed him that we are not eligible for the {$15000.00} Down Payment Assistance, as we are not first-time homebuyers. He stated we would need approximately {$14000.00} cash to close. I asked him to email me this information. 

On XX/XX/XXXX, XXXX emailed me this. I escalated this to his superior, who did not take any responsibility for XXXX false representation and misleading us. The superior is District Manager XXXX XXXX. 

There have been email exchanges and phone calls between XXXX XXXX and myself. 
However, he did not present a resolution to this issue that Guild Mortgage created. 

The Mortgage Contingency date is XX/XX/XXXX. XXXX XXXX alleged that Guild Mortgage would provide a resolution no later than XX/XX/XXXX, which gives us no time to review our options prior to the mortgage contingency date. Furthermore, XXXX XXXX appeared to deflect the issue they created by encouraging us to contact other lenders, which demonstrates their lack of integrity and morals. 

Ultimately, the issue this is creating is that I went from less than $ XXXX {$2000.00} cash to close to over {$14000.00}. Now, this puts my family in a financial hardship, as I have to withdraw nearly all of our retirement savings, which will result in penalties and taxes. This has not been our fault in the slightest aspect. We have always been timely in providing all requested documents. However, we are in this situation because XXXX XXXX offered and advertised a loan product we are not even eligible for.