r/MortgageRateCheck

This is a story I'm telling in hopes that others do not lose out of thousands of dollars, or even a penny, due to bullying by your mortgage company. I'd love comments, support, and thoughts on actions going forward.

Everyone is entitled to know where each dollar you spend goes. Do not ever pay a bill blindly and trust the process - ESPECIALLY when working with Onity. Please, everyone who uses PHH/Onity, do your own Escrow analysis (I'd love to help everyone, but I can only detect fraud in so many accounts...).

Here's the true story from customer. Mortgage was bought by Onity last August, right around when taxes were due. Conveniently, taxes were paid by the previous company before Onity bought the loan.

Onity goes ahead and pays the full taxes for the year, which is leads to account negligence #1 and #2:

1. Taxes were already paid
2. Taxes due were prorated due to the owner moving in only a couple months previously.

Escrow account is now ~$5,000 in the negative (I'll use rough numbers for each of calculations for readers) and requires a $5,000 advance. Negligence #3 - Onity takes several months Escrow payments and applies to the negative balance. Onity then gets refund, and after pushback, applies it to the account (wtf?).

Negligence #4 - Onity does not account for the months Escrow was paid and taken by Onity, and then takes $5,000 of the refund. Months go by, and (Negligence #5) Onity takes ~$3,500 out of the Escrow account with the only note being "Misapplied Funds".

Owner sends in Tax documents to Onity before yearly re-analysis to make sure the $6,000 taxes is applied correctly. Negligence #6 - Onity does a re-analysis and applies a $8,700 tax amount and finds a deficit on the account requiring $450 / month extra to make up for it over the next 12 months.

Owner re-sends the Tax documents through the secure portal (evidence that documents have been there...) and Onity does a re-analysis and (Negligence #7) does not apply the new tax document.

Owner complains about for the 5th time (~6 hours of total phone calls) about several Escrow payments not contributing to their fund and the unexplained $3,500 that was taken out of the account. Negligence #8 - Onity blames previous mortgage company (who they purchased from) of removing $4,000 from my account, which turns out to be completely false.

Owner spends several weeks hearing "this issue will be resolved in 48 hours", only to either not get calls back or receive generic emails with no new information (negligence #9). Owner gets external escrow analysis confirmed and it was determined the $3,500 "Misapplied Funds" plus the several weeks of escrow payments that weren't contributing to the Advance payoff exactly match the deficit Onity calculated (Negligence #10).

Documented, mathematically proven accounting sent to Onity with all tax, insurance, and escrow history with outlined clerical errors and negligence from their team. Customer support acknowledges the issue but says it will take 48 hours to do another analysis - 48 hours later, another incorrect analysis was provided (Negligence #11). Owner calls and they acknowledge the analysis is incorrect.

Owner asks for goodwill compensation, as they have not been able to pay mortgage after being over a month late. Onity offers to waive late fees and provide a Mortgage Deferment if owner fills out an application that they cannot afford the mortgage and will negatively affect their credit score (Negligence #12). Owner has more than enough funds to pay the $700 inflated mortgage, but does not want to deal with the nightmare of getting a refund when this is over and also simply wants to pay a correct bill.

Owner promised a manager would call in 24 hours, no call after 72 hours. Onity promised Aug 21 (yes, recorded and said "we absolutely promise you this will be resolved by Aug 21) the analysis will be fixed.

I'll update tomorrow. WHAT THE F***? Thoughts and help for this owner? The problem has been diagnosed and identified, but their circular customer support and lack of ownership that they made a problem is horrible. Please, comment below on what can be done. This trouble has been going on for OVER A YEAR NOW, with the new yearly analysis of the account requiring $700 / month more since July 1.

https://preview.redd.it/do0ez7z0r1kh1.png?width=874&format=png&auto=webp&s=d3bc078e2ed98687cf577b1b541a541fa22d0dba

Can anyone help me sanity check these estimated closing costs for a 30year conventional mortgage. In the process of buying our second home, so nothing stands out to me, but curious if more experienced eyes see anything overly high etc.

The one item that I'm specifically questioning is the $699 Realtor Admin Fee in the bottom right corner. It this a normal buyer-side charge? I haven't seen this before and it feels fishy, so idk if its negotiable or not payable at all?

We are working with a lender we were referred to from our realtor. We used this realtor when we bought our 1st hour ~5years ago, and we really liked working with her, so idk if this is something we need to bring up with her or the loan officer etc.

Extra Context:
- $425k house
- 10% down payment
- Home located in Minnesota

Edit: I asked my realtor about it this morning and she said "The admin fee is charged by the broker, not myself. Most all brokers charge them unfortunately, and I have to also pay it when I've bought/sold my personal homes. Its calculated in as part of 'closing costs' "

Hi there,

I am shopping around for rates. Could you please share the best rates and where you got recently?

\* +700k condo
\* Credit score >750
\* Primary residence
\* Brooklyn, NY

Any info will help! Thank you 🙏🏻

Hi,

I’m shopping around for quotes, the best one I got is below!

House:510k
Location: Austin, Texas
Incentives:30k ( I can use ANY lender)
Credit: 737
20% down payment.
Loan Type: conventional
Picture is comment section from April ( new build)

Mortgage lander Quote:
5.1% interest.
30 year

Hey everyone, it’s my first time going over a house purchase and I want to make sure I am maximizing what I pay out of pocket. Is an 8.8k closing cost fee too high for a 240k house purchase with 25% down?

EDIT:

These are the fees worrying me the most in terms of what I pay out of pocket, I know the formatting isn’t the best but this subreddit does not allow posting images

Section A - Origination Charges

Broker Administration Fee
Origination Fee
$995
$3,924

Section B - services you cannot shop for

Appraisal fee
Credit Report
Electronic registration fee
Flood certificate
Tax service
Verification of Employment Fee
$1,035
$219
$25
$8
$85
$100

Section C - services you can shop for

Title - Courier/Wire/E-Mail Fee
Title - Endorsement Fee
Title - Premium for Lender's Coverage
Title - Settlement Or Closing Fee
Title - Title Examination
$135
$285
$1,035
$525
$450

I went to Veteran’s United for pre-approval (anong others) and the loan officer said that if they were locking in the rate right now they could do 5.99% for a 30 year loan, and lower if I pay it down. Is this realistic? Would I be likely hearing the same thing in two weeks if I were to put in an offer?