- Marion County Republican Party Chairman Hunter Bonner has filed a mortgage fraud complaint against Texas Attorney General Ken Paxton
- Bonner’s complaint is the first publicly known instance where allegations of mortgage fraud against Paxton have been formally presented to the Federal Housing Finance Agency
- Federal Housing Finance Agency Director Bill Pulte has taken an aggressive stand against mortgage fraud and has encouraged members of the public to report mortgage fraud
A Republican leader has filed a complaint against Texas Attorney General Ken Paxton with the Federal Housing Finance Agency, alleging possible mortgage fraud by Paxton. The complaint, filed by Marion County Republican Party Chairman Hunter Bonner, centers on allegations of mortgage fraud by Paxton that had been previously reported in the media by outlets such as The Associated Press and The New York Times.
Bonner’s complaint is the first publicly known instance where information related to Paxton’s alleged mortgage fraud and supporting documentation has been formally presented to the Federal Housing Finance Agency.
On CNBC’s “Squawk Box” earlier this month, Federal Housing Finance Agency Director Bill Pulte was asked about Paxton’s alleged mortgage fraud but said that unless something had been “made public by lawyers” or “in criminal referrals”, he would not “comment on any specific situation.” Pulte, however, has pledged an aggressive stance against mortgage fraud, targeting both Republicans and Democrats.
“It doesn’t matter whether you’re Republican or Democrat; we will look at everything. And we are looking at Republicans, Democrats, you name it. If you commit mortgage fraud in this country, and with the resources that we have, we’re trying to do as good of a job as we can,” said Pulte.
Pulte has also encouraged members of the public to report possible mortgage fraud.
“Good morning. Fraud is out of control and costs all of us more money. The average American shouldn’t have to foot the bill for fraudsters. If you see something, say something. Email FraudTips@fhfa.gov. Thank you for helping us expose any and all criminal activity,” wrote Pulte in an August 27, 2025 tweet.
The allegations against Paxton revolve around mortgage documents he signed between 2015 and 2022 for four different properties. The records for each of the properties all contain provisions that Paxton appears to have violated.
Mortgage documents for two of the properties – a condominium and a house both located in Austin – contain provisions requiring Paxton to “occupy, establish, and use” the property as his “principal residence” within 60 days of signing the mortgage documents and that he would continue to occupy the property as his “principal residence for at least one year after the date of its occupancy.”
Despite agreeing to these terms, Paxton continued to maintain his primary residence at the homestead-exempt house he owns in McKinney. Under Texas law, a homestead exemption can only be claimed for a property that the owner occupies as their principal residence.
The mortgage documents for a third property, located in College Station, contained a provision restricting the property from being used as a rental property. However, the real estate website Zillow indicates that this property has been listed for rent several times since Paxton purchased it.
The mortgage documents for a fourth property, the “Copper Canyon Lodge” in Broken Bow, Oklahoma, prohibit Paxton from giving a management company “any control over the occupancy or use of the property.” Listings for the “Copper Canyon Lodge” on vacation rental websites indicate that a management company is involved in handling tenants for the property.
Bonner told The Texas Voice he filed the complaint because it is important for Republicans to uphold the rule of law.
“Republicans believe in the rule of law, just exactly like the founders of the United States of America and the founders of the State of Texas believed in,” said Bonner.
“Nobody, including elected officials, is above the law.”
Several prominent Democrats have also seen themselves at the center of mortgage fraud allegations in recent months. California Senator Adam Schiff, New York Attorney General Leticia James, and Federal Reserve Governor Lisa Cook are all under investigation for mortgage fraud, according to various media reports.