loanDepot, LLC

My experience with Loan Depot for refinancing the mortgage.

The loan process was very good initially. I was told prior to starting the process I would lock in rates and if rates went down I would be able to take advantage of that and not have to worry if rates went up. I asked the loan officer why I was at 3.3% when rates had dropped since I first signed up for the refinance loan. I was told I would have to pay a heavy dollar amount in points to get the new lower rate. This was the first time that was ever mentioned and didn't get to take advantage of the lower rates.

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Lengthy with minimal communication

I had to ask for updates. I felt like nothing would have happened if I didn't bother people. I was told it would take 3-4 weeks but it's more like 10.

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Overall just okay

I have bought a lot of real estate in my lifetime and done many refinances. This one was the second or third that I did via the internet. Overall I had a decent enough experience. The Loan Depot contacted me within minutes of completing my questionn 6
aire on Lending Tree. Their rate looked great and I decided to work with them. I email back all the requested docs and completed the necessary paperwork via Docusign. All very easy and fast. Then came the closing. First I was emailed a revised closing sheet. Upon review I noticed that my impounds had increased by nearly $120.00 mo. over my previous impounds? After a review I found that they were calculating my taxes including two supplemental tax assessments paid in 2019 following my initial purchase. This was due to the re-assessment of the property value based on its purchase price. This results in what are called supplemental tax payments to catch up to the new tax assessment. It is a one time only tax that is paid in the first year after a home changes ownership. After that your taxes are based on roughly .0120% of your property's purchase price. When I emailed the processor and questioned this I got no response. The next day I contacted the person who had first called me. I guess he is in the sales staff. I told him I was not getting any response from the processor but I knew there was an error in my impound calculations. Well, next thing I know I got an email back from the processor. He tried to dismiss my questions as if I was ignorant. Telling me supplemental taxes are California law. My response was simply to explain I knew very well how the tax code worked. But if you calculated my taxes based on the tax code and its purchase price you could not arrive at the estimate they had which was nearly $1400.00/ year higher. I explained to him what the supplemental taxes were. Still no penetration. Finally I said I would not sign the loan docs nor continue with the loan unless this was resolved. I then sent him copies of my impound dispursements from my current lender showing the two recent tax payments which totaled the tax amount that the appraiser had shown on his appraisal. Finally he called me for the first time, and said he had spoken to the escrow officer and was able to get the impound corrected. Following that I signed docs on May 22, 2020. My loan did not Fund until June 3rd, 2020? I kept emailing the same processor who ignored me. Finally I called him. Two days later, he managed to contact the funding department and get the loan funded. Finally, I was paying off some bills which I assumed would be sent directly to the creditors at closing. I found a Fedex envelope in my driveway two days later now 14 days out from my signing. In it were checks to my creditors. Since I paid all these bills with autodraft. I had to go on line and print out statements, then make out envelopes and send them my self? Just terrible service from the escrow officer all the way around. First on the impounds, second on getting the loan funded and thirst just laziness on the pay-offs. My sister used Loan Depot and was not put through this at all? I guess it depends on who you get as a processor and a title officer. But my overall experience, was not the best in contrast to other lenders. The processor was condescending and apparently the title officer was just green or lazy, not sure. Will I use them again? Let me just say I will not go with the first lender to call if I go through Lending Tree. A refinance is stressful for most. This one stressed me more than others I have done. At my age I don't need stress. With the Coronavirus pandemic going on most of us are more stressed. I also realize that this has effected how everyone does business. So perhaps this was also part of the issues I had with the Loan Depot staff. All working from home and not able to just walk over and get answers. Not sure, but glad it is all done.

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