A Miami couple is alleging they were turned down by three lenders, then miraculously approved for three loans to purchase homes from Builder First Home using a mortgage company First Home’s parent company has a 49% ownership interst in.
The couple alleges that the loan officer for Builders Mortgage, LLC falsified documents and changed numbers without their knowledge to get them the loan. Of course, K. Hovnanian Enterprises, the parent company of First Home, takes issue with that fact. K. Hovanian alleges the buyer is simply trying to get out of a contract they signed.
What is true is that the SW Florida real estate market has taken a tumble, and many buyers are looking for ways to get out of closing on properties they’re under contract for. What is also true is mortgage fraud has been rampant accross the United States, particularly among investors. What is unclear is which set of facts, or both, are at play in this case involving First Home and this Miami couple.