Pulte mortgage complaint

[kitcat368]

What is the name of your state? OH

We were originally quoted a 4.25% rate on a mortgage loan if we went with Pulte mortgage. However, over the course of the loan process, our interest rate was change 2 more times with the result being 5.8%. If a rate lock aggreement was signed at 4.25% is Pulte allowed to change the rate? If so, what are the guidelines that needed to be met in order to allow for such a change? Aside from complaining to Pulte itself, what other agencies can we complain to so that an investigation can be initiated? If Pulte is planning on selling off the loan, how can we hold Pulte indefinitely responsible? Your answers are greatly appreciated. Cathy

 

[Souix]

What is the name of your state? OH

We were originally quoted a 4.25% rate on a mortgage loan if we went with Pulte mortgage. However, over the course of the loan process, our interest rate was change 2 more times with the result being 5.8%. If a rate lock aggreement was signed at 4.25% is Pulte allowed to change the rate? If so, what are the guidelines that needed to be met in order to allow for such a change? Aside from complaining to Pulte itself, what other agencies can we complain to so that an investigation can be initiated? If Pulte is planning on selling off the loan, how can we hold Pulte indefinitely responsible? Your answers are greatly appreciated. Cathy

***Did your lock expire? What is Pulte? Is that a mortgage broker or the servicer? ***

 

[amortgageman]

Pulte is a home builder, with their own mortgage company.

Let's see, you have a builder who knows how long that lock needs to be in place in order to close on a newly constructed home.

Were there credit issues that would not let you qualify for that interest rate?

 

[kitcat368]

Reply

No to the time expiration question. Time between lock and closing was 42 days. And, no, there was not a credit issue that prevented us from taking the rate. In fact, we qualified for more than one loan product based on income and credit. So, my questions remain: is Pulte allowed to change the rate? If so, what are their requirements/allowable reasons? What are the various organizations/regulating bodies that I can complain to? Thanx for at least taking the time to respond to my initial question. Cathy

 

[amortgageman]

I am wanting to think that the 4.25% rate was a 2-1 buydown on a thirty year fixed rate or some type of an adjustable rate product like a 3/1 ARM.

Builders have these enticing ways of advertising extremely low interest rates, and make you think you can own a home for $600.00/mo.

Are you comparing apples to apples here, meaning the terms of the loan were absolutely the same. Granted, there have been interest rate increases, but not that dramatic.

What loan did you apply for and was that the same loan that you received?

 

[kitcat368]

All things the same...

The rate originally quoted, 4.25%, was for a 80/20 5 yr. ARM. The final loan was for same, but only at a higher rate. If what you are saying is true, that the lower rate was an enticement only, is this not an issue with the Truth in Lending Laws? or, perhaps, false advertising? If so, I can now add another regulatory body to complain to. Who regulates lenders, anyway? I have already written to the Attorney Generals of Colorado (location of Pulte Mortgage) and Michigan (location of main Pulte Corporation), as well as the Federal Trade Commission. Any other suggestions? Thanks for your time. Cathy.

 

[HomeGuru]

The rate originally quoted, 4.25%, was for a 80/20 5 yr. ARM. The final loan was for same, but only at a higher rate. If what you are saying is true, that the lower rate was an enticement only, is this not an issue with the Truth in Lending Laws? or, perhaps, false advertising? If so, I can now add another regulatory body to complain to. Who regulates lenders, anyway? I have already written to the Attorney Generals of Colorado (location of Pulte Mortgage) and Michigan (location of main Pulte Corporation), as well as the Federal Trade Commission. Any other suggestions? Thanks for your time. Cathy.

**A: not if it is developer buy-down.

 

[kitcat368]

Questions...

Developer buy-down? What is that? Anyway, what sort of legal recourse do I have? Who do I complain to, aside from who I already have? As a side question, does the Information Act allow me to find the names and addresses of other Pulte Mortgage consumers? If so, am I allowed to contact them to ascertain if any other consumers have had similar problems with this organization? Thanx. Cathy

 

[HomeGuru]

Developer buy-down? What is that? Anyway, what sort of legal recourse do I have? Who do I complain to, aside from who I already have? As a side question, does the Information Act allow me to find the names and addresses of other Pulte Mortgage consumers? If so, am I allowed to contact them to ascertain if any other consumers have had similar problems with this organization? Thanx. Cathy

**A: ok Cathy, let's get to the point. If your contract states the lower interest rate with no contingencies then you have a solid argument. But, I know it doe snot since I have a copy of the general Pulte contracts. The initial rate was the rate quoted and not a contracted "set in stone" rate, but subject to change.

 

[kitcat368]

Sorry, your wrong...

I'm not sure of what general Pulte contracts you have, but I have a signed rate lock agreement from Pulte, dated and timed for 3/28. Now, can someone finally answer my original question about who do I complain to about this? Thanx.

 

[HomeGuru]

I'm not sure of what general Pulte contracts you have, but I have a signed rate lock agreement from Pulte, dated and timed for 3/28. Now, can someone finally answer my original question about who do I complain to about this? Thanx.

**A: your state consumer protection office.

 

[nextwife]

Pulte is now in our market, too, but virtually the ONLY turnkey builder.

Her's what MAY be the problem: The rate lock is only good for a given period of time. You choose your house and they build it for you. You did NOT lock in the rate to buy an already built newly constructed home, correct? However, because with the turnkey house, you don't actually close until AFTER complete construction and occupancy permit issuance, which takes a few months, the rate has changed. You locked into building while the rate was low, but the construction period is longer than the rate lock!

 

[HomeGuru]

kitcat, post word for word exactly what the rate lock agreement states.