A borrower who purchased a home for his daughter sued his mortgage loan servicer for charging him inappropriate late fees and failing to adequately respond to his qualified written request (QWR). The bank argued that the property was not covered under RESPA because the loan was taken for a business purpose. The court disagreed, finding that the loan was not exempt from RESPA.
Samuel Friedman obtained a mortgage loan from Maspeth Federal Loan and Savings Association to purchase a single-family home that was adjacent to his residential property. His daughter and son-in-law and their children moved into the home after the purchase and have been the only residents of the property.
TO READ THE FULL STORY
Cover Story: