For months, the American political landscape has been roiled by a series of mortgage fraud accusations, with high-profile figures from both parties ensnared in a web of conflicting claims, public records, and legal maneuvers. At the heart of the matter is a question as old as the mortgage industry itself: when does claiming a property as a primary or secondary residence cross the line from legal maneuvering into criminal fraud? The saga has drawn in everyone from New York Attorney General Letitia James to former President Donald Trump, sparking fierce debate across the aisle and raising uncomfortable questions about selective prosecution and political vendettas.
The most recent flashpoint came on December 12, 2025, when forensic accountant Sam Antar published an open letter to Congress, laying out his role in uncovering what he described as “mortgage irregularities, conflicting state disclosures, and second home violations” tied to Letitia James’s Norfolk, Virginia property. According to Antar, he found these discrepancies in February 2025 and meticulously documented them on his blog, White Collar Fraud. His findings included four contradictory sworn statements by James: to her bank, she claimed the property was a "second home" for personal use; to her insurance company, it was "owner-occupied"; to the IRS, it was a "rental property" with zero personal use days; and to New York State, it was listed as an "investment" property. In a text message to her accountant, James wrote, “I do not want to take deduction. It looks suspicious.”
Antar’s revelations did not go unnoticed. By April 14, 2025, Federal Housing Finance Agency (FHFA) Director Bill Pulte had made a criminal referral based on Antar’s work, and the FBI launched its own investigation. The case quickly escalated: Lindsey Halligan secured an indictment on all counts, and the story became a lightning rod for partisan accusations. Democrats dismissed the investigation as a "vendetta," while Abbe Lowell, in a motion to dismiss, referred to Antar as a "right-wing fringe blogger"—even as he cited Antar’s timeline of the alleged fraud. In the months that followed, the controversy only deepened, with Senator Elizabeth Warren and her colleagues demanding a Government Accountability Office probe and Representative Robert Garcia seeking records of communications between Pulte and Antar.
Despite the furor, the legal case against James hit a wall. In a dramatic turn, two grand juries rejected charges in a single week before December 4, 2025, following what Antar described as "rushed presentations" by a civil Assistant U.S. Attorney whose last criminal case dated back over a decade. As of mid-December, there have been no further updates or filings, and, as The New York Times acknowledged, "No judge has reviewed the substance of the case." In his open letter, Antar challenged Congress to investigate him as well, stating, "I’ll testify voluntarily – under oath, no immunity, no conditions. I’ll bring every document. Walk you through the math impossibilities. Explain the four contradictory sworn statements the FBI found." He added, "Congress: I’m not bluffing. Investigate me—under oath. But fair’s fair: Letitia James joins me. Same room. Same oath. Put up or shut up."
James’s predicament is hardly unique. In fact, the same week Antar’s letter made waves, ProPublica published an investigation revealing that former President Donald Trump had, decades earlier, signed two mortgages for neighboring homes in Palm Beach, Florida, each time affirming that the property would serve as his principal residence. Public records and interviews indicate that Trump never lived in either house. Shirley Wyner, who worked as Trump’s local real estate agent, told ProPublica, “They were rentals from the beginning. President Trump never lived there.”
At the time of the purchases, Trump’s agent was quoted in the Miami Herald as saying he had “hired an expensive New York design firm” to “dress them up to the nines and lease them out annually.” Mortgage law specialists consulted by ProPublica explained that holding multiple owner-occupied mortgages can be legal in some circumstances—such as job relocations or lender-approved exceptions—but intent is crucial in proving fraud. “Given Trump’s position on situations like this, he’s going to either need to fire himself or refer himself to the Department of Justice (DOJ),” said Kathleen Engel, a Suffolk University law professor. “Trump has deemed that this type of misrepresentation is sufficient to preclude someone from serving the country.”
FHFA Director Bill Pulte, who has become a central figure in these investigations, has stated, “If somebody is claiming two primary residences, that is not appropriate, and we will refer it for criminal investigation.” The mortgages in question, issued by Merrill Lynch for $525,000 and $1.2 million, required Trump to occupy each home as his principal residence within 60 days and to remain for at least one year unless the lender approved otherwise. Yet public records from the 1990s list Trump Tower in Manhattan as Trump’s home, and a 1994 Vanity Fair profile depicted him shuttling between New York and Mar-a-Lago—not the two satellite houses. Both properties appeared in rental listings throughout the 1990s, and any potential violations are now long past the statute of limitations; the loans have been paid off.
When asked about the Florida loans, Trump reportedly hung up on ProPublica. A White House spokesperson later responded, “President Trump’s two mortgages you are referencing are from the same lender. There was no defraudation. It is illogical to believe that the same lender would agree to defraud itself.” The spokesperson dismissed the story as “yet another desperate attempt by the Left wing media to disparage President Trump with false allegations,” insisting, “President Trump has never, or will ever, break the law.”
The political stakes are high, and the accusations have not been limited to Trump and James. Trump himself has moved to oust Federal Reserve Governor Lisa Cook, citing her two primary-residence mortgages. Other prominent Democrats, including Senator Adam Schiff and Representative Eric Swalwell, have faced similar allegations. Yet, as ProPublica notes, no referrals involving Republicans have been made public, prompting skepticism about the impartiality of these investigations. Pulte, for his part, insists, “If it’s a Republican who’s committing mortgage fraud, we’re going to look at it.”
The legal and ethical questions raised by these cases go far beyond the individuals involved. Mortgage law experts point out that the rules surrounding primary and secondary residences are complex, and intent is notoriously hard to prove. The fact that such cases are rarely prosecuted—unless they become politically charged—raises the specter of selective enforcement. As the investigations grind on, the American public is left to wonder: are these prosecutions about upholding the law, or are they just the latest front in an endless partisan war?
For now, the truth remains tangled in red tape, grand jury decisions, and public posturing. But with figures like Sam Antar demanding to testify under oath and both parties trading accusations, it seems unlikely the debate will fade anytime soon.
