Consumer complaint received 2024-10-09 00:00:00
Product: Mortgage — VA mortgage
Issue: Struggling to pay mortgage — An existing modification, forbearance plan, short sale, or other loss mitigation relief
Company: LoanCare, LLC
State: TX

Complaint narrative:
Our issue stems from an undisclosed Lien/Tax called a XXXX ( XXXX XXXX XXXX ). This is something that benefits the local city that allows Developers to enforce a XXXX. The XXXX  is an assessed value of the home and property that is a fixed annual payment due each year. We were never disclosed of what a XXXX  is or why we are not Exempt as a veteran, given that we are exempt from all property taxes within our county and state laws. This XXXX  has turned into a nightmare, and we regret purchasing this home. 

When we closed in XXXX XXXX, the XXXX was never disclosed to us at signing. TREC NO.20-16 TXR 1601- One to four family residential contract ( Resale ), Page 4 section 7 states that PUBLIC IMPROVEMENT DISTRICTS : if the property is in a public improvement district, seller must give buyer written notice as required by 5.014, property code. An addendum containing the required notice shall be attached to this contract.

Page 8- 22 AGREEMENT OF PARTIES : The two boxes that are clicked are Third party financing addendum and addendum for property subject to mandatory membership in a property owners association . The box stating Addendum containing notice of obligation to pay improvement district assessment was NOT marked and we never received or signed form, TREC 53-0, which is stating we are aware of the XXXX.

With not having the full disclosure of the XXXX, it has caused us to go into loss mitigation with our home due to the XXXX  not being fully disclosed and being hit with back taxes and causing an annual increase in our home. 

On XX/XX/2021, HB 1543 was the new legal requirement on all property sales in Texas. PROP 5.014 notice of obligations related to public improvement district, which requires that all sellers are to notify the potential buyers of any XXXX  that service the property. If we had been informed of this before purchasing the house, we would have backed out. 

We also attempted to seek help or legislate a change to the following : XXXX XXXX XXXX XXXX XXXX XXXX, Congresswoman XXXXXXXX XXXX office on this matter and have since filed a claim with our title company but was denied because in one line in the tax section at closing it just says XXXX  nothing else is stated. And by all accounts of Texas state laws, we were not full information or disclosed about the XXXX  and no forms as outlined were signed by us agreeing to the XXXX. 

Our issue can not be fixed, other than following in suite with our Lien Holders programs ( Loancare LLC. ) as well as the VA 's programs. But the VA should put a restriction/modification into veteran home loans when a Veteran is purchasing a home that has a XXXX  within its development or property that the full XXXX  amount be included into the loan so it will be paid in full at closing or that the Veteran can have the XXXX  escrowed into their monthly payments throughout the duration of the XXXX  itself. If we were given any of these XXXX options, we would not be in the process or a Forbearance.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation