These States Have the Most Mortgage Gripes

Daily Real Estate News | Thursday, July 16, 2015

Consumers have a lot of criticism when it comes to banks servicing their mortgages, with five states voicing the bulk of the complaints.

Read more: A Big Mistake Mortgage Shoppers Make

Eighty-five percent of all mortgage complaints fall within two categories: problems when consumers are unable to pay (such as a loan modification, collection or foreclosure) or problems making payments (such as loan servicing, payments, or escrow accounts), according to a nationwide analysis of mortgage industry complaints by the U.S. Public Interest Research Group from December 2011 to March 2015.
The report found the highest number of mortgage complaints surfaced in the following states:

1. District of Columbia: 104.9 (complaints per 100,000 residents)
2. Maryland: 92.2
3. New Hampshire: 83.3
4. Florida: 82.6
5. Delaware: 75.1

The report also found that the three most complained about mortgage lenders – when taken into account with market share -- are Ocwen, Nationstar Mortgage, and Bank of America. Ocwen’s share of complaints were more than four times its share of the market. Ocwen calls itself a leader in servicing "high risk loans."
In a separate report, the Consumer Financial Protection Bureau published 138,086 complaints about mortgages, the most complaints collected about any financial product from December 2011 to March 2015.
Source: "Florida Still Ranks High Among States with Most Mortgage Complaints," Tampa Bay Times (July 14, 2015)