Mortgage Mess

Letitia James has some explaining to do:

According to Joel Gilbert, who detailed the shocking discovery, Letitia claimed her property had four units while official records show it was a five-unit property. Subsequently, the alleged misrepresentation allowed her to secure favorable mortgage terms, saving tens of thousands annually. The lawfare queen purchased the four-story, five-apartment building for $550,000 in 2001. In 2005, she refinanced it with an adjustable Aegis loan with an interest loan of between 7.2% and 10.2%. Over the next two decades, she took mortgages to refinance the property, in which she listed the building as having four units. However, the Certificate of Occupancy from 2001 lists the property as a five-family dwelling. Four or fewer unit properties receive the more favorable “residential” property interest rates, while those with five or more units fall under the “commercial” category and often attract higher interest rates. One of the mortgages that James qualified for was the Home Affordable Modification Program (HAMP), intended for owner-occupied properties with no more than four units. While HAMP is intended for individuals with financial hardships, James earned $126,390 in 2011, including rental income. In addition to having a high salary and rental income, James was a single woman without children, raising questions about her eligibility.

The Queen has been dethroned...