| 08/31/2023 |
Yes |
|
- Closing on a mortgage
- Fees or costs after closing
|
|
Web |
Servicemember |
|
Our familys attempt to build a custom home using a construction loan managed by Intercoastal Mortgage, XXXX ( XXXX ) was nothing short of horrendous. More specifically, XXXX XXXX, a senior loan officer with XXXX, provided services that fell far below our expectations of an experienced professional responsible for overseeing the ongoing construction funding of a high value single-family residential home. Over nearly two years, XXXX collected tens of thousands of dollars in interest from my family for a loan on the construction of a home that our original contractor, one XXXX XXXX XXXX of XXXX XXXX XXXX XXXX, XXXX, promised would be complete in approximately eight months. XXXX XXXX required us to use XXXX as our lender. He directed us to XXXX XXXX specifically, who assured us that XXXX was a great builder, that we would be in good hands, and that our home would be completed on time. Based at least in part on these representations, we signed a contract with XXXX XXXX and XXXX XXXX XXXX in XX/XX/XXXX. At the time, we were still stationed in Colorado XXXX, CO, but we anticipated relocation to the Washington, XXXX, area in XX/XX/XXXX. Little did we know that not only was XXXX XXXX not even licensed to build homes, but that XXXX had no real knowledge or experience with him or XXXX & XXXX, nor had XXXX done any diligence to ensure XXXX XXXX and XXXX XXXX XXXX were capable of building our home at all, much less in a timely manner.
Over the course of the next two years, we relied on XXXX as our construction loan manager to conduct periodic inspections to ensure work was completed when draws were requested by XXXX XXXX and XXXX XXXX XXXX. We did not learn until later in the construction process that XXXX actually contracts inspections to third party companies, which have little to no incentive to check to ensure work is completed.
XXXX and XXXX XXXX lack of oversight over third party inspectors directly contributed to XXXX XXXX and XXXX XXXX XXXX receiving draw payments, taken out of our construction loan, for work that was not performed at all, was only partially performed, or was performed so poorly as to require us, the homeowner, to pay out of our own pocket to completely re-do or significantly fix the work performed.
We expressed concerns to XXXX XXXX regarding our former builders egregious delays and requests for draws for incomplete work, but neither XXXX XXXX nor XXXX took any action to implement more stringent inspection measures. For example, XXXX approved our former builders request for payment for completion of water and sewer hook-ups when, in reality, no water or sewer had been hooked up at all. XXXX also approved our former builders request for payment for completion of interior paint-final when not a single drop of interior final paint had been applied. When we previously asked our prior builder, XXXX XXXX, why we were being asked to approve draws for construction either not completed at all, or only partially completed, he told us he had to request draws in advance of the work actually being completed to account for delays in payment from XXXX and that delays in payment from XXXX would result in delays of our project overall ( which would, ironically, ultimately only result in XXXX collecting additional interest payments ). When we asked XXXX about XXXX XXXX delays in completing work he had already been paid to do, XXXX XXXX told us it was our responsibility as homeowners to ensure the work had been fully completed in accordance with the draw schedule. How we, as homeowners, were expected to be able to verify that complex construction phases had been completed, was neither clear nor possible.
When we relayed our issues with XXXX XXXX to XXXX XXXX, he feigned surprise and dismay, as though this was the first time hed heard of such problems. The same was true of our interactions ( and our lawyers interactions ) with ICMs leadership, including Senior Vice Presidents XXXX XXXX and XXXX XXXX and CEO XXXX XXXX. However, as time went on, we learned that, in fact, XXXX XXXX and XXXX were put on notice months before we signed a contract with XXXX XXXX and XXXX XXXX XXXX regarding the same issues we experienced, but they continued to extend loans that unsuspecting customers would then pay XXXX tens, if not hundreds of thousands of dollars in interest to service. To add insult to injury, even after we fired XXXX XXXX and XXXX XXXX XXXX and hired a new builder, XXXX initially resisted our efforts to transfer the small remainder on our construction loan to our new builder without a written lien waiver from XXXX XXXX, something both we and they knew he would never agree to provide. Furthermore, as we learned during the mortgage appraisal process for our new home, XXXX appears to have failed to adhere to some of the lending requirements associated with VA construction loans, which we utilized for our home. Had these lending requirements been adhered to, we believe XXXX XXXX and XXXX XXXX XXXX fraudulent practices XXXX have been identified earlier in the process.
On XXXX XXXX XXXX webpage, he states that the homebuying journey doesnt have to be painful or scary ( see XXXX XXXX XXXX ). For my family, it was all of this and worse. XXXXs complicity in using unsuspecting customers financial backing to extend massive loans to a fraudulent builder, all while collecting massive interest payments and failing to perform even basic oversight functions associated with construction loan management directly contributed to not only our family, but at least a dozen others, losing tens if not hundreds of thousands of dollars over the course of years. XXXX XXXX inaccurate, unfounded, and irresponsibly cavalier assurances to us as potential home buyers regarding our former builder and his complete lack of oversight over construction loan draws resulted not just our losses to XXXX in interest payments, but also in XXXX XXXX and XXXX XXXX XXXX receiving hundreds of thousands of dollars we now owe to the bank, all for work he did not complete.
We can not emphasize enough what a nightmare this experience was for us. If you are a customer searching for a construction loan servicer to oversee your project, or if you are a lending institution shopping for a construction loan servicer to manage your loans to customers, we can not more strongly recommend you steer as far away from Intercoastal Mortgage as possible. They have neither the customers nor your interests in mind. XXXX profited greatly by deliberately and knowingly lending customers money to a fraudulent and incompetent builder, ultimately leaving those same customers to pick up the pieces ( and pay hundreds of thousands of dollars out of their own pockets ) to fix the issues XXXX should have identified in the first place.
|
| 07/25/2022 |
No |
|
|
|
Web |
Servicemember |
|
My wife and I have moved into our new house on the XXXX of XX/XX/XXXX and we feel like we have been taken advantage of by the builder, bank and appraisers. We have has several issues at then end of the process that makes us feel like we have the victims of appraisal fraud, predatory lending, and shady business practices by the builder after locking in on the price of the house and then increasing the purchase price of the house after it was set on my lot. Below is our statement of what has transpired. We have evidence to back up our claims.
My wife and I started to look at selling our house and to build our dream house back in XXXX. We sold our house back in XXXX and started looking for builders and options for the land we owned. We talked to a few builders and got rough estimates for the build. We were told by the builders they could not lock in on prices due to the volatility of the market. So my wife and I went to talk to XXXX XXXX XXXX of the XXXX since my wifes parents and my brother got homes from them and seemed to have no issues. We went and spoke to the sales rep for the builder ( XXXX XXXX ) and went over several houses and options and discussed what we were looking at and the prices we were getting from other builders. We decided on a house that was similar to what we had picked with the other builders and the price difference was in the range of {$60000.00} to {$80000.00}. We had a lender already lined up when we started this process that refused to do the loan once we told them we decided to go with XXXX XXXX XXXX. They would not go into detail why they refused to move forward with the loan. So we asked the builder if they could refer us to a lender. The sales rep referred us to XXXX with Intercoastal Mortgage and we decided to go with them. We went through the process of getting approved and we hit our first snag. The lender told us that we had a tidewater issue when they sent the appraisal request to a VA appraiser and they labeled it a tidewater. We asked what that was and were told their appraiser didnt see any value in our proposed new construction. The builder called and told us that the VA didnt give much value to some of the options we had picked like the garage which would have cost {$50000.00} but the VA would only give us {$12000.00}. So we removed the garage and the finished upstairs and we were waiting on a response from the lender on the appraisal and we got an email from the builder saying that we should look at a conventional loan. We told the lender and builder to go ahead and go with the conventional loan. The lender sent us an email about a week later to inform us the appraisal came back at {$410000.00} which is what we needed to move forward because our loan was {$300000.00}. We went in to the builder and signed the paperwork for the house locking in the price before the new price increase took effect from what the builder was telling us. We were told that we should not see a price increase but had to sign a form stating the price could increase due to the market. Our proposed house payment was {$1900.00}. We kept in touch with the builder and lender trying to stay informed on the status of the house, rates and price increase as the house was being built. As the house was coming off the factory we tried multiple times to lock in on the rates but was told by the lender we should wait til the house was in route to lock in the rate due to long setup times.During this time we received an email from our sales rep with the builder that she had quit. We finally got a ship date on the house and we were able to go ahead lock in the rate, which was almost double what we were originally quoted. The house was set on our lot and was almost complete when we were told by the builder that the cost for the house increased by over {$12000.00} by email. I called and spoke to the owner who said he never admitted to locking in the price and would never have done that due to the market. The builder and us could not come to an understanding on the price increase and we had to add the increase to the cost of the house. We thought we would be able to because of the equity we had. So we talked to the lender and informed them of the price increase and were told that we were waiting on the recert appraisal and they didnt see any issues to add the increase. We went a couple weeks waiting on the appraisal and were informed by the bank when asked repeatedly they had asked for the appraiser to recert the house and the appraiser refused because there were no houses in the area to value the house. The loan processor informed us that they have never had this issue before and the vp of the bank told her they were going to file a complaint against the appraiseXXXX. I asked the lender how we are going to move forward. The lender responded saying they had to request for another appraisal. That appraisal came back at {$290000.00} which the lender asked for reconsideration and that appraiser came back at {$320000.00}. I called and spoke to the VP of the lender and we discussed how this could have happened and how to correct this. He said he would go after the appraiser that overvalued my house but he would have to get another appraisal and talk to his legal department and he insisted this has never happened to him before and that he has been in the business. Later on I sent the VP of the lender an email asking about the status and he informed me that he was going to get with an appraiser and he had to get with his legal to determine what to do. I was contacted by the lender and was informed that we had to go with a FHA loan to get the house closed. The appraisal came back at {$350000.00}, which is what we needed to close and we closed on the house. We could not include the price increase and we had to agree to a payment plan with the builder of XXXX payments of {$6000.00}. Our new payment for our house is over {$2500.00} a month. Our house payment now included PMI because of our loan to value being at 96 %. I have tried multiple times to contact the lenders vp about what they are going to do about this issue with no response. Since then I have filed a complaint with the appraisal board against the first appraiser and asked if there is another complaint filed by the lender and was told there was not. I believe I have been misled and lied to about all the issues with no resolve.
|
| 03/09/2022 |
No |
- Mortgage
- Conventional home mortgage
|
|
|
Web |
|
|
We are in dire need of your assistance. We have recently entered into a construction mortgage with Intercostal Mortgage company. We have spoken with XXXX XXXX, our licensed loan officer about obtaining a mortgage.
He told us on multiple occasions that the mortgage rate lock would be 3.5 %. We have this in writing and we believed him. He told us he would lock the rate right after closing at 3.5 %. This was a lie. It has been 3 months and we have gotten no where with this company. We finally had to reach out to the president of intercostal mortgage for assistance. He just tonight XXXX sent us the rate lock paper work. In order for us to get the rate lock of 3.5 % that were were told we would get, it would now cost us {$58000.00}. We simply of not have this money. Could you please assist us?
We really need your help.
From : XXXX XXXX XXXX Date : XX/XX/2021 at XXXX EST To : XXXX, XXXX XXXX XXXX Cc :, XXXX XXXX XXXX Subject : Re : ACTION REQUIRED We will lock your 3.5 % long term on your permanent mortgage. 4.25 % is locked for your construction loan. Your perm loan is not locked yet and we will lock as we discussed shortly after closing.
XXXX XXXX XXXX # XXXX Vice President & Senior Loan Officer Intercoastal Mortgage Company XXXX XXXX XXXX XXXX - XXXX XXXX
|
| 10/17/2022 |
Yes |
- Mortgage
- Other type of mortgage
|
- Applying for a mortgage or refinancing an existing mortgage
|
|
Web |
|
|
We were working as a 3rd party construction company on a project financed through the following Loan Officer and entity : XXXX XXXX Intercoastal Mortgage LLC.
XXXX XXXX XXXX XXXX # XXXX XXXX The Loan Officer on this loan repeatedly told us ( the builder ) and the homeowner that in order to get paid the remainder of our fees we needed to complete all work- including any out of scope - out of our funds and we would then need to submit an invoice for reimbursement.
This went on for months ... and in excess of $ XXXX.
once we submitted the receipt.. which were all approved by all parties.. we were told we would not be reimbursed because the loan can not fund these.. though we were forced to complete those to submit for reimbursement. the lender since then.. started disbursing funds to other without our approval or without proper notification.
the LO has not responded to requests for answers.
This lender has violated numerous minimum requirements for this loan and has operated in a ways that should not be tolerated in 2022.
|
| 05/21/2021 |
No |
- Mortgage
- Other type of mortgage
|
|
|
Web |
|
|
My home has been under construction since XX/XX/2019 through one of there preferred builders. The lender has not tried to help reach out for a resolution and has allows the builder to place a lien on the property stopping me from closing and selling the property. No work has been done in over a year and I continue to pay {$1200.00} each month for interest that has accrued on the property. I have tried settling this matter with the contractor and have tried asking what my current options are as I have been stuck for over 2 years because there builder walked away from the job without completing the work. The lender continues to threaten me stating the balance is owed but does not offer any assistance on a home I pay for monthly. The lender offers me no protection whatsoever and has not provided no assistance throughout this nightmare
|
| 11/29/2017 |
Yes |
|
- Applying for a mortgage or refinancing an existing mortgage
|
|
Web |
Servicemember |
|
Good morning, Last month, I applied and received a mortgage from XXXX XXXX. Prior to apply, I asked Mr. XXXX XXXX over email, if XXXX XXXX sold mortgages to XXXX XXXX, XXXX XXXX or XXXX and he said no. I explained to Mr. XXXX that I do not wish to deal with this group based upon past performance and harassment from members of this group. I told Mr. XXXX that if they conducted business with this group, I would have to decline the mortgage. Mr. XXXX lied about his association with XXXX XXXX XXXX XXXX aka XXXX XXXX. This group steals from Veterans and falsifies credit reports.
Today, I received a call from XXXX XXXX stating that my loan was transferred to XXXX XXXX and I discontinued the called. I am requesting a reversal of this transfer.
XXXX XXXX XXXX XXXX XXXX
|
| 01/09/2018 |
Yes |
|
- Applying for a mortgage or refinancing an existing mortgage
|
|
Web |
Servicemember |
|
On XX/XX/XXXX I was mislead in an email from XXXX XXXX of Intercoastal Mortgage stating that they did not sell loans to XXXX or any of its affiliates. I explain to XXXX XXXX my desire to terminate the loan application if they did. He replied back in email that they did not sell to XXXX or anyone affiliated. We closed on XX/XX/XXXX and I XXXX on XX/XX/XXXX and returned on the XX/XX/XXXX to find out that while XXXX to XXXX XXXX Intercoastal Mortgage sold my loan to XXXX XXXX aka XXXX. Remedy: I want my loan bought back from XXXX and sold to a company that is reputable, long standing and that doesn't sell it loans.
|
| 08/05/2022 |
No |
- Money transfer, virtual currency, or money service
- Domestic (US) money transfer
|
|
|
Web |
|
|
Inter Coastal Mortgage wired money without confirming the transfer with me personally that ended up being Fraudulent. According to them I requested a transfer of {$150000.00} to be sent to an account other than mine. this should have been confirmed with me personally. It has been XXXX days and I have yet to recover these funds. it is putting a hard ship on my business for someone else 's miss handling.
|
| 09/15/2022 |
No |
- Money transfer, virtual currency, or money service
- Domestic (US) money transfer
|
|
|
Web |
|
|
I filled a complaint earlier where the lender does not want to take any responsibility or try to help and resolve the issue. If anything they have been the opposite. what is my next step?
|
| 01/05/2024 |
Yes |
- Mortgage
- Conventional home mortgage
|
- Closing on a mortgage
- Closing disclosure or other related disclosures
|
|
Web |
|
|
|
| 03/26/2023 |
Yes |
|
|
|
Web |
Servicemember |
|
|
| 02/28/2023 |
Yes |
- Mortgage
- Conventional home mortgage
|
- Trouble during payment process
|
|
Web |
|
|
|
| 01/07/2023 |
Yes |
- Mortgage
- Other type of mortgage
|
|
|
Web |
|
|
|
| 11/02/2017 |
Yes |
|
|
|
Web |
Servicemember |
|
|