Consumer complaint received 2026-03-01 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Lennar Financial Services, LLC
State: MD

Complaint narrative:
On XXXX XX/XX/XXXX, I purchased a home in XXXX XXXX Maryland and Lennar Mortgage was the original lender ( my loan was sold to XXXX XXXX in XX/XX/XXXX ). As part of my settlement, I paid Lennar Mortgage {$4200.00} to hold in an escrow account for payment of property taxes. Lennar made the statement to me in writing ( which will be in the attachments of this complaint ) In Maryland, the county will not process the recording of your Deed, if there are any open bills. Your deed was recorded on XXXX is consumer abuse, with proof of the XXXX XXXX property tax bill date being XXXX XX/XX/XXXX which was still unpaid by Lennar. Lennar went on to state At closing we collect and hold a Tax Improvement Levy incase the county issues the New Construction bill between closing and recording the Deed. ( XXXX XXXX can take almost 3 weeks to process recordings ) If they were to have issued the New Construction bill for the fully assessed home, we would have had to pay it. In your case they did not. This is consumer abuse and deceptive of Lennar, with proof from the attached XXXX XXXX Real and Personal Property Balance Details attachment, which clearly states the bill date was XXXX XX/XX/XXXX and also clearly states it is a New Construction Tax bill. Due to this deception, Lennar passed this New Construction Tax bill on to me, so they would not have to pay it. On XXXX XX/XX/XXXX I received the first and only bill from XXXX XXXX Property Taxes indicating an original bill due date of XXXX XX/XX/XXXX ( before I took ownership of the property ). The bill noted the account was in arrears and failure to pay within 30 days of notice ( bill date was XXXX XX/XX/XXXX ) the collector would proceed to sell the liens to satisfy the debt. This was installment 1 for XXXX in the amount of {$2800.00} plus they added penalties and interest in the amount of {$28.00} ; total bill due was {$2800.00}. I reached out to Lennar Mortgage immediately via phone and email notifying them of this issue. I was made aware Lennar Mortgage never transferred the escrow money to XXXX XXXX when my loan was sold. I demanded immediate payment from Lennar Mortgage and instead they wired the {$4200.00} I had paid them, to the new lender, XXXX XXXX. Their failure to pay the tax bill has caused me financial hardship as I was left with no option but to pay the bill in full, including late fees and penalty, to avoid having a lien placed on my home. Lennar Mortgages lack of action is in direct violation of 12 U.S. Code 2605 ( g ) which states ( g ) Administration of escrow accounts : If the terms of any federally related mortgage loan require the borrower to make payments to the servicer of the loan for deposit into an escrow account for the purpose of assuring payment of taxes, insurance premiums, and other charges with respect to the property, the servicer shall make payments from the escrow account for such taxes, insurance premiums, and other charges in a timely manner as such payments become due. Also, I am an active-duty service member who has over 16 years of service to date and have a VA loan , so Lennar Mortgage 's actions also violated the Servicemembers Civil Relief Act ( SCRA ). Due to violations of 12 U.S. Code 2605 ( g ), the Servicemembers Civil Relief Act ( SCRA ), Real Estate Settlement Procedures Act ( RESPA ) of XXXX, and Consumer Abuse, the expected outcome is for Lennar Mortgage to pay the highest financial penalty in restitution to me for the mortgage company not paying property taxes from my escrow account, as this constitutes a breach of contract and a violation of federal regulations.

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