Consumer complaint received 2021-06-05 00:00:00
Product: Mortgage — Other type of mortgage
Issue: Closing on a mortgage — 
Company: PARAMOUNT RESIDENTIAL MORTGAGE GROUP
State: MN

Complaint narrative:
1 ) I was recommended to PRMG as a preferred lender for XXXX XXXX who did a LOT of loans and understood the new construction loan process. XXXX XXXX XXXX XXXX recommended XXXX XXXX to me. Based off XXXX XXXX recommendation, I chose to work with PRMG. The only written proof I have is the email sent XXXX XXXX from XXXX XXXX thanking XXXX for recommending " we '' work with him. 

2 ) Every loan has issues to overcome and is unique, so we did not have any " major '' issues until we closed on the construction loan and property. PRMG subcontracted a second bank XXXX to provide the construction loan, this is when my 3 problems occurred. 

a ) I learned that there would be a second closing cost on my new build because of the construction loan. I learned this in an email on XXXX XX/XX/XXXX, approximately 3 days before the first attempt at closing. The total amount of the closing cost was {$8300.00}. I understand that a 2nd closing cost is not unusual but would expect two sets of closing cost be something that is reviewed by your banker some time prior to the week of closing. Ultimately not all the paperwork was complete and we closed the following XXXX  XXXX XXXX. 
b ) After the signing on XXXX  XX/XX/XXXX I was called by my XXXX XXXX XXXX and PRMG agent in a combined call. My XXXX XXXX XXXX explained to me that the terms of the construction loan where incompatible with the way he does business ( the phased payouts of the loans paid out at the end of a construction build phase, and not at the beginning of the phase so the builder couldn't buy the material, and he was incapable of acting as a bank ). The Builder also informed me that our home package had increased {$36000.00} due to the price increase of lumber. If I wanted to continue with the build, I would have to get a new construction loan that met his construction build criteria. This was regardless of weather I paid the lumber inflationary cost from my family savings or not ( and I WOULD have paid the price increase from my savings! ). In this conversation, my PRMG agent XXXX offered to help me by giving me my Homes Appraisal and look into recovering my closing costs. 
c ) I received my New Home Construction appraisal on Tuesday XXXX XXXX. I am now working with a new bank who informed me that under law I need to be given my appraisal 3 days prior to title closing to review it and determine if I want to continue through with the loan. So I am disappointed to find this out as well. 

Since this incident I emailed my agent XXXX XXXX asking about the status of recovering my closing cost on the incompatible construction loan that he negotiated, on XXXX XX/XX/XXXX. I have not received a response. 

I do not know who XXXX XXXXXXXX XXXX boss is. Since he is an area manager, so I emailed the PRMG site at XXXX XXXX XXXX 

I have not recieved a response.

Company public response: Company believes complaint caused principally by actions of third party outside the control or direction of the company
Company response to consumer: Closed with explanation