Consumer complaint received 2024-02-20
Product: Mortgage — USDA mortgage
Issue: Struggling to pay mortgage — Applying for or obtaining a modification, forbearance plan, short sale, or deed-in-lieu
Company: Freedom Mortgage Company (MT)

In XXXX  i purchased a home with a local bank with a USDA guarantee home loan. 
The appraiser that the bank hired to make sure the house met the regulations that were required by the USDA lied on the report and said everything met there standards. The appraiser also overvalued the home and lied about the houses he used to justify his opinion of the value in the report. The bank signed the loan and the USDA approved it. A year later the roof started to caved in due to snow and ice. The insurance company sent a guy out to look at it. About a week later the contacted me saying they were denying the claim and were not renewing the policy. They said the house was a liability and uninsurable. The USDA or the bank who originated the loan would not do anything to help me. I kept calling the USDA for three or four months trying to understand what i was supposed to do. The people at there customer service center didn't know what to do and just kept telling me someone would contact me but they never did. XXXX was coming and i had to do something. I had a contractor say it would be around {$60000.00} dollars but their was no way i could afford it. Then i contacted the bank that purchased the loan which was Freedom Mortgage the person i talked to said it wasn't their problem because the didn't originate the loan. I had no choice but to try to rebuild the roof myself and had to figure out how to pay for trusses sheeting and the metal along with everything else it took every thing i had. The trusses didn't show up until almost XXXX so i had to stop working and get as much of the roof done as i could before it started snowing. I kept trying to work on it through the XXXX  but it took most of my time just keeping the snow and ice from building up because it didn't have sheeting so there were just tarps keeping the weather out. Because it took so much time and money for the roof along with getting XXXX  XXXX i got behind on my payments. When i originally called Freedom Mortgage I tried to get a home equity loan to help pay for fixing the roof but they denied the loan. Then they put a foreclosure notice on my door and stated they were selling the house at auction. I started calling the people who were running this guarantee loan program because they were supposed to be in charge of this loan and they said it wasn't there problem even though people committed fraud on the loan application. After emailing the state director of this loan program and being told i wasn't going to get any help from them i called the XXXX XXXX agency and got the same response that they weren't going to get involved. I called Freedom Mortgage and said i would sell my truck or come up with the money i owed just to stop them from selling the house at auction I had every XXXX i had tied up in the materials for this house so it would even make it through the winter and they were just going to keep everything. The guy who was in charge of the foreclosure and the auction said he would ask Freedom Mortgage if they would wait a week so i could get the money. He emailed me the next day and stated they said no that he was told to sell the house. I explained that the government had covid relief options that i was supposed to be able to use and the banks weren't supposed to foreclosing or evict you because of the CARES ACT. The foreclosure notice they put on the door was dated three months before they even printed their loss mitigation packet that didn't show up in my mail until a week after they auctioned the house they didn't even ask the insurance company why the house wasn't insurable. They just put their own insurance on it and charged me for it Freedom Mortgage foreclosed on the house and then purchased it at auction them self 's. I don't understand how any of this can be legal and according to what i have read in the Code of Federal Regulations it isn't legal but nobody will enforce the laws. Because of this i have lost everything there evicting me and i have no money to move and have lost everything i have worked for not only the money for the roof but the money lost from not being able to work and all the things that i have had to fix on this house just to make it livable. I loose all the money i had saved and now i have nowhere to go and no way to get there if i did. Freedom Mortgage just gets to auction the house keep the money from it along with everything I've put into it all because of people committing fraud on a government loan application and they don't care i cant even get work because i don't have anywhere to live. All of this is a violation of my civil rights and because they have unlimited recourses for lawyers to take everything i have and there's nothing i can do except file complaint 's with government agencies that have done nothing about it but tell me to get a lawyer. Every person in the financial institutions and the government agencies should be held accountable for allowing this. The laws are supposed to apply to everyone not just the people who can't afford a team of lawyers to uphold their rights and the laws.