Consumer complaint received 2023-12-26
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Application denials
Company: COMMUNITY FINANCIAL SYSTEM, INC. (NY)

In all honesty, this whole entire process with XXXX XXXX has disgusted me! The firm has took a beautiful process of buying a home, and turned it into such an ugly crime scene! I feel discriminated against! I feel like throughout this entire process with the firm, that I was taken on a dark joyride and ran through the mud! Simply because of the XXXX of my skin, and the location in which I wanted to buy my investment property in the City of XXXX! In my opinion, the denial of my home mortgage loan is a blatant example of redlining and racism!!! 

I am the epitome of an ideal lendee!!! I have EXCELLENT credit, amazing income, a great job, and impeccable credit history!!! I am not bragging on myself, I am merely stating facts!!! From the entire process with my Home Lending Advisor, XXXX XXXX, I have been honest and transparent. I stated upfront that I was buying a home as an investment property. I also advised him that I was referred to your firm from my Real Estate Agent, XXXX XXXX ( copied in ). I stated that the potential investment property that I was purchasing would be where my daughter would reside, and that I wanted to purchase a home in the City of XXXX. I even disclosed my ideal budget, and added that my husband and I were going to fix up the home to help beautify the community. XXXX advised me of the various products you offered, and never mentioned anything about needing a Certificate of Occupancy or the prospective property needing to be turnkey!!! 

On XX/XX/23, in good faith, I supplied XXXX my personal financial information! I emailed him my paystubs, government issued photo ID, tax documents, bank statements, etc. I was not advised to send it to a secure website or portal. XXXX noted that he would process everything, and later sent me a pre-approval letter. From that, I found the home at XXXX XXXX XXXX My husband and I thought it was a diamond that needed our loving polishing! I immediately contacted XXXX, and we began the application process with your firm. Again, I supplied my updated financial information. On XX/XX/23, XXXX contacted me to state that the property ( XXXX XXXX XXXX XXXX had some City of XXXX code violations and the bank would not move forward with the property. I was devastated! After all the homes we looked at, the bank was not interested in moving forward after I secured a {$5000.00} deposit for a home that I adored! I advised XXXX of my disappointment and dissatisfaction with going through this entire process, and being advised by him that the property was denied because of code violations by the underwriter. XXXX stated that the bank was afraid that they would not get their money back because the house was not immediately rentable without a Certificate of Occupancy ( COO ) and existing City code violations. I couldnt understand as I never received anything in writing or told verbally that loan offers had to be for turnkey homes or COO properties! I had been transparent that I was buying an investment property that I would fix up in the City of XXXX! What also disturbed me was the fact that he stated the bank was afraid they were not going to get their money back despite my impeccable credit history, credit score, and financial standing! I felt that the mark changed once I reached the goal!!! I felt discriminated against! XXXX voiced that he wanted me to partner with the bank in the future despite this matter. After sharing my concerns with XXXX as stated in this email, I thanked him for his service and ended the call. On XX/XX/23, XXXX called me and stated that he would try to do whatever in his power to help fight for the XXXX XXXX XXXX loan approval from your firm. I asked about sharing my updated financial information and fees. XXXX advised to move forward with sharing my updated financial information. On XX/XX/23, I received my commitment letter from the firm. On XX/XX/23, I received my appraisal letter. On XX/XX/23, I received my denial letter. XX/XX/23, I had to cancel my purchase contract. On XX/XX/23, a competitor offer was accepted for XXXX XXXX home. I am devasted.