Consumer complaint received 2026-03-26 00:00:00
Product: Mortgage — VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Application denials
Company: Lennar Financial Services, LLC
State: CA

Complaint narrative:
I am submitting this complaint regarding the handling of my VA XXXX loan application through Lennar Mortgage, which resulted in a last-minute denial after significant process failures, inconsistent communication, and financial harm. I worked with loan officer XXXX XXXX, who was responsible for handling my loan file. I was preapproved and moved forward in good faith with the homebuying process. Throughout the process, I proactively disclosed all relevant financial information, including a XXXXrelated debt concern early in the process, and repeatedly requested guidance on what actions were needed to ensure loan approval. Despite this, communication from XXXX was inconsistent and inadequate. There were multiple instances where I reached out via email and phone requesting clarification and direction but did not receive timely responses. In total, we only spoke XXXX times during the entire process. I am prepared to provide email records and call logs demonstrating the lack of communication and follow-up. I also believe that my income profile, which includes VA-related benefits such as XXXX XXXX XXXX XXXX XXXX XXXX and a VA XXXX stipend within my household, was not properly evaluated or addressed early in the process. These are stable, consistent, and federally sourced forms of income commonly associated with VA borrowers. Despite this, I was not provided clear guidance on how this income would be assessed or what documentation was required, which contributed to issues being raised late in the process. During my conversations with XXXX, I was asked to provide pay stubs and an end date for my VA-related income, including XXXX and the VA XXXX XXXX. These types of benefits do not issue traditional pay stubs and typically do not have defined end dates, as they are federally administered and tied to ongoing eligibility. I have aXXXXXXXX XXXX XXXX XXXX XXXX rating. This raised concerns that my income was not being evaluated under appropriate VA loan guidelines, and I was not provided clear or accurate direction on how to properly document this income for underwriting purposes. My loan continued progressing toward closing, and I was provided with a Closing Disclosure indicating that approximately {$20000.00} of debt would be paid off as part of the transaction. However, just days before closing, I was unexpectedly informed that I would need to personally pay approximately {$18000.00} toward debt in order to qualify. This directly contradicted prior disclosures and was introduced far too late in the process for me to reasonably address. Additionally, I was verbally informed that my loan was denied, but I have not received a formal Adverse Action Notice outlining the specific reasons for denial, as required under the Equal Credit Opportunity Act ( ECOA ). This lack of documentation has created confusion and raises concerns regarding compliance with federal lending requirements. After this, I spoke with XXXX, who informed us that we could not return to a previously considered Lennar community in XXXX. This was inconsistent with our earlier experience, where our file had been successfully transferred between communities without issue. This inconsistency limited our ability to pursue a more affordable and viable option. For comparison, I previously worked with XXXX XXXX at Lennar, who preapproved us for a higher-priced home and took a proactive approach by identifying financial requirements upfront to avoid issues later in the process. This highlights a significant inconsistency in how my loan file was handled and suggests that the issues I experienced were preventable with proper diligence and communication. Following the denial, my file was referred to a secondary lender. As a result, I lost access to previously offered loan terms, including a significantly lower VA loan interest rate and builder incentives such as debt payoff assistance. I am now being presented with higher interest rates and reduced benefits, which will result in a substantially higher monthly payment and long-term financial impact.

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