The Maine Attorney General has filed a lawsuit against a mortgage lender for a case he says is a prime example of why the country is in a foreclosure crisis. Attorney General Steven Rowe filed the suit against Downeast Mortgage Corporation. According to the AG’s office, a couple went to the company for a home loan, but did not qualify.
Rowe says Downeast Mortgage then steered the couple to purchase a more risky commercial loan, which lacks consumer protection. That loan is now in foreclosure.