Consumer complaint received 2019-10-03
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — 
Company: Mr. Cooper Group Inc. (PA)

I purchased my home in XX/XX/XXXX. I did not realize until after I moved in that the seller had not properly disclosed several issues in the property that needed immediate major structural repair and attention, so I had to put money into some of those repairs, but I kept the mortgage payments up as best I could. Then I had a XXXX XXXX XXXX XXXX XXXX that has required me to go on unemployment and await approval for XXXX. In XX/XX/XXXX I was completely unable to return to work and had no income at all and had to apply for public assistance for medical and food stamps, but I remained in contact with NationStar / Mr. Cooper about my situation. By this time I had missed two months of payments. I XX/XX/XXXX, I was awarded unemployment and contacted NationStar / Mr Cooper to inform them that I would receive a lump sum payment and would be able to pay part of the amount owed and was informed that unless it was the full amount it would not be accepted and would be returned, it was like they wanted me to lose my property. So I felt like I had nowhere to turn and did not qualify for any programs because I had no other form of income and as the months went by the mortgage payments continue to add up. 

My husband and I share the household income and expenses. I applied for a loan modification with my housing counseling agency, XXXX XXXX XXXX, in early XX/XX/XXXX. I was told that NationStar / Mr Cooper does not work with housing counseling agencies, and will only agree to work directly with me as the borrower. ( This seems untrue. ) I had to resubmit my application on my own and did so again in late XXXX. I provided all the missing information that NationStar / Mr Cooper requested to complete my application in a timely manner. Then, after waiting and providing all my documentation and having conversations with Nationstar / Mr Cooper reps for a month, I was  finally called and told that I do not qualify for a loan modification because I owned my home for less than 12 months. 

At the time of facing foreclosure and did not understand why I did not qualify for a loan modification, or why I was not told this right in the beginning because it was no mystery to NationStar / Mr Cooper how long I owned the house. Also, I did not receive anything in writing to inform me of this denial ; I was only told over the phone. NationStar / Mr Cooper went forward with the process to foreclose on my home and  accumulated attorney 's fees. In XX/XX/XXXX my daughter was XXXX   and I contacted Nationstar / Mr Cooper to inform them that I would be able to make the payment in full in XX/XX/XXXX, I was told that no attorney had been assigned to the case as of yet but they had hired a law firm. I contacted the law firm to get the amount owed and was to conflicting amounts and who to pay. The law firm told me to pay them, and the mortgage company told me to pay them. I read over my documents and it said to pay Nationstar / Mr Cooper and they would pay the attorney 's from the amount, but that did not happen ; I am left with a balance of {$1400.00} dollars. I paid the full past due amount of {$4000.00} minus the attorney 's fees from the proceeds of my daughter 's life insurance policy. I have had numerous conversations with NationStar / Mr Cooper that this was a temporary fix to my hardship and that it would get me  caught up but eventually I would still need the assistance of programs available to me. And was told that I could reapply for a loan modification in XX/XX/XXXX and now it is XX/XX/XXXX and feel that I will get the same results. 

I explained that I felt it was unfair that I was not given the chance or opportunity to apply for programs prior to the hiring of attorney 's. I would like a chance to appeal this decision of attempted foreclosure on the property without seeing if I qualified for any other program and the attorney fees that I am being charged, but have received no instructions on how to do so. I also feel like it would be important to inform me of any other options that Nationstar / Mr. Cooper might determine I may be  eligible for that would allow me to make affordable timely mortgage payments until my financial hardship changes, without continuing or beginning foreclosure on my property. The time of the first attempt to foreclosure on my property, I did not have any indication that there are any possible solution to my problem other than move out. I have contacted them early enough in hopes that there will be other options available. This seems unreasonable that as a homeowner there is nothing they could offer me to assist me. 

This home was already marked for foreclosure before I signed the documents. There was a problem the night before that I was not made on the sellers part that I was not aware of and was still allowed to sign. This happened with sellers agent, my agents, loan company, and title and escrow company. There was a lot of problems with this home that was swept under the rug that is why the property tried to switch hands so quickly that it did not give the title company a chance to get the paperwork correct until XX/XX/XXXX ; over two months. I don't want to make this about race but I believe you are placed in specific types of programs where they know you will not be able to keep up just so they can take it back, such as FHA. I was not even offered any first time home buyer programs or assistance with FHA. 

FHA has weakened it guidelines so that they do not have to complete their appraisals by close examination, now they just glance from a distance. It lowered its credit score acceptance to XXXX or above so that more people can qualify and purchase homes within a specific price range and most of those homes have major issues. The people who purchase them are living paycheck to paycheck and if you miss one or two payments they can begin the process of foreclosing, it affects your score making it hard to qualify for loans to repair or purchase anything. Before you know it, you are homeless because your credit is damaged, you can't rent, buy, or lease anything. It's sad, I would like to be considered for assistance programs based on need not race.