Prospect Mortgage LLC

It didn't.

I contacted Prospect regarding a mortgage loan. The FHA pre-approval letter was provided; however, not enough information was provided regarding my options. They never really kept in touch regarding my home search. I actually received a call several months later from after I had already moved on with another mortgage company who walked me through the whole process and answered all of my questions on a timely basis.

Prospect Mortgage originally was recommended by my realtor. They provided me with a pre-qualification letter that I used while shopping for a home. When my offer on a home was accepted, I approached Prospect and six other lenders for quotes. Prospect's quote worksheet was the most confusing of them all, by far. It contained several instances of ridiculously large fees being charged (for instance, over $3400 in discount points), then partially credited elsewhere on the page. The loan officer made sure to point out these seemingly large credits, saying she would "eat" this amount, and her manager would "eat" that amount. Look, it's not a discount if you jack up the price beforehand. The estimate also presented lender fees and title company fees in one big list, with no indication whether each charge was a lender fee or a title company fee. When pressed, the loan officer did provide this information, but only over the phone. She did not provide a document that listed these fees separately, even though I requested one. It's easy to understand why Prospect might want their quote to be confusing: theirs was also the most expensive of all the lenders I consulted ? over $1100 more in lender fees than the cheapest quote, after credits. Prospect's worksheet contained the most extensive list of fees, some of which seemed to be duplicates (for example, $250 for "Lender's Coverage" and $195 for "Title Ins Binder"). What's worse, Prospect referred to its "Estimated Cash to Close Worksheet" as a "GFE", the industry abbreviation for Good Faith Estimate. The loan officer called it a "GFE" during our phone conversations, and sent it in an email with the subject "gfe". I'm no lawyer, but my understanding is that a GFE is required to be on a standard government form, a HUD-GFE. That form has all sorts of information about your rights as a borrower, with strict limits on hidden fees. The document that Prospect called "GFE" bore none of this information -- it was little more than a spreadsheet. Prospect's loan officer was generally courteous and available, but at times she became pushy. When I asked her to match a competitor's quote, she needed to "go talk to her manager" to see what discounts could be authorized. Perhaps this was the truth, but it smelled of high-pressure car-sales tactics. A few hours later, the loan officer called me back and offered what seemed like a discount, but it was difficult to tell due to all the large charges and credits (as described above). She wanted me to accept the offer immediately while on the phone, and seemed annoyed when I told her I still wanted to do the math and compare with the other offers. As it happens, the "discounted" offer was still more expensive than the one I had asked her to beat. Ultimately I chose a different lender, who quoted a 0.250% lower rate with $600 less in fees, and who provided a real HUD-GFE up front.

During the loan processing, they repeatedly requested the same financial information after I had already provided it.I was told closing would be 4/13/12. We did not close until 4/19/12.They were supposed to fund the loan the day after closing, but did not. Since 4/20/12 was a Friday, they all went home and left us without possession of our new house for the weekend. The loan still did not fund until 4:30 on Monday (4/23/12).The title company they chose did not have a correct HUD-1 form ready at closing. Several tries were required to get it right. I could not tell who was at fault - the title company or Prospect Mortgage. But since they chose the title company, I hold Prospect Mortgage accountable for the HUD-1 errors.