Why is a Florida woman suing over a $1 million mortgage?
A Florida woman has sued a real estate company after she claims her $1.5 million mortgage was improperly inflated to make it appear the home was worth more than it was.
Tanya Fong, who lives in Miami, said she was shocked to learn the company had made a $5 million payment to her lender in September, saying the mortgage was $1,847,400 overstated.
The house was sold last year for $2.9 million, Fong said in a lawsuit filed Tuesday in Palm Beach County Circuit Court.
The company paid $2,000, she said, but did not provide any other information about the payments.
The lender told the Palm Beach Post the payment was made in full.
Fong’s attorney, Joseph Hirschfeld, said the loan was never sold for a profit.
Fong and her husband, who are both college graduates, had purchased the home in May 2015 and paid $1 a month in taxes.
She said the money was supposed to be used for renovations.
But Fong alleged the company’s payment was never made, that the loan amount was never properly disclosed, and that the company never made an advance payment.
Hirschfeld said the lender had made about $1 in “underwriting errors” and that it is looking into the case.
The loan company told the Miami Herald it would not comment on pending litigation.