Wells Fargo Home Mortgage Breach of Contract/non performance Encinitas California

We engaged in a construction loan with Wells Fargo. The construction loan was to reach maturity in one year. We were told this was a one time closing. Understood it would convert to a permanent loan when we received the certificate of occupancy.

Construction took more than 12 months to complete. No problem, Wells Fargo simply adds $500 to the loan for each 3 month period. Once we submitted the certificate of occupancy, WF ran another credit check, and stated our debt to income ratio did not meet their criteria for a permanent loan. However, the loan specialist was trying to see what he could do.

After many voice messages and emails to the loan specialist and his assistant, we finally received a call from the specialist informing us that WF could not process our loan, we would have to find a permanent loan elsewhere. We stated our previous loan agreement, was a one time closing, WF replied that the rules changed.
We received an email from WF underwriter assistant shortly after the email from the loan specialist requesting additional information. The information was provided and receipt was confirmed. The assistant to the underwriter only responds that they will check the status when they do respond to our emails. No feedback is received.

We have not received an official notice that WF cannot process our convertion. We have not missed any payments.
Credit scores are low due to purchasing upgrades to the property and structure on credit. Payments are on time and usually in excess of the minimum.
We invested approximately $70k in the property prior to engaging in the construction loan.
Loan specialist stated he would have the $500 extension fees waived. He does not respond when we inquire if this has been accomplished.

We continue to receive official notification that another $500 has been added to our loan amount to extend the loan maturity date. WF is generally none responsive to voice and email communication. When they do respond, weeks have passed.

Dj
imperial beach, California
U.S.A.