Consumer complaint received 06-10-2016 about Mortgage (Conventional fixed mortgage) with NAVY FEDERAL CREDIT UNION (AP).
Issue: Loan modification,collection,foreclosure

Complaint: On XXXX 2005, I purchased a town house a few months before the housing market collapsed. After the collapsed, the house depreciated about 60 % of the purchase value. Two years later, I received XXXX ( XXXX ) orders. I was unable to sell the town house and forced to find a tenant. Eleven years later, the market has not recover enough for me to be able to sell the property. I had been thru numerous tenants which either leave the property without noticed/paying the rent or I have to requested legal assistance to evict of them from the property. In addition, every time the property is left in a complete mess with me responsible for all the repairs. 
At this point, I have concluded that it is better for me to find a permanent solution to this situation. I started doing some research and learned about the different federal mortgage programs available for people in my specific situation. After reading the program criteria I was certain I qualified to receive help. Therefore, I contacted Navy Federal and requested assistance. I was directed to complete the Uniform Borrower Assistance Form and return it to them. Since I am currently station in XXXX, I requested to have all the documents forward to XXXX of the XXXX Navy Federal banks in the area in order for me to expedite the process. However, Navy Federal refused. Instead, they used the postal mail service to send me all the require documents. I explained to them, by the time the letters or documents get to me in XXXX, I am always late for the bank requested submission due date on the package. I have tried in different occasions to get the documents either fax or scan to me directly or to a Navy Federal branch in the area. However, Navy Federal refused. As a result, my application process was delayed for approximately 5 months utilizing these tactics. 
Once the package was completed, I requested a deed in lieu of foreclosure. However, I was explained over the phone, first " you need to place the house in the market for short-sale and intent to sell the property ''. Therefore, I agreed. Navy Federal approved the short sale and I immediately listed the property in the market. The property was on the market for 90 days as requested. In the processed, my realtor explain to me a few issued with the location of my property. The area have a higher rate of renters in comparison with owners. Therefore, it is almost impossible for any potential buyers to get finance to purchase the property. We contacted Navy Federal and after explaining the situation asked, " if they were willing to finance a potential buyers to sale the house ''. They said no. Therefore, in order for me to sell this property I need to do a cash sale. 
On XXXX XXXX, the short-sale time frame expired and I was unable to sale the town house. I contacted Navy Federal requesting further instructions to process with the deed in lieu of foreclose. The agent told me, " the town house was not approved for deed in lieu and I need it to reapply for short-sale to place the house back in the market, a package will be mail to you soon ''. Again, I was indirectly explained, " as long as you are making your payments on time, you are not demonstrating you have a financial issue ''. I am told over and over, " you are not qualify for the Home Affordable Modification Program ( HAMP ), Home Affordable Refinance Program ( HARP ) or any refinance option available and I had been indirectly suggested to miss payments ''. However, it is my understanding, I do not need to miss any payments in order to qualify for refinance programs. 
During the last ten months, the Loss Mitigation Department with Navy Federal Credit Union, has intentionally delayed my mortgage modification requested. They have continuously denial me all federal refinance options available without providing detail explanation.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation