They thought they'd achieved the American dream, but now a south Dallas family may be days away from losing everything.
The family says they are the victim of a housing scam. They claim they were sold a home by someone who didn't actually own it.
Jose and Dalia Palma and their three children immigrated to the United States from Mexico 15 years ago.
Two years ago, they say they paid $8,500 for a home on Pine Street in Dallas. They found it through an ad on Craigslist.
Jose Palma says he met the seller at the Dallas County Clerk’s Office to make the transaction. He says he received a notarized deed for the property before he handed over a certified check.
“They were jumping up and down for joy that this was a dream and they fulfilled it,” Palma said in Spanish.
Back then, Palma says the homes were dilapidated drug houses.
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He says he’s spent about $50,000 turning the house into a home for his family of nine, adding plumbing, painting, and installing floors, walls and ceilings.
Despite the investment, it appears they may lose it all.
Palma says he didn’t realized until last week the company that sold him the home didn’t own it after all.
When its true owner failed to pay the mortgage, the bank foreclosed.
The home sold at auction Tuesday.
Palma says he’s now out his life savings and wonders where his family will go.
“I ask myself this question every night and I just don’t know,” Palmas said tearfully.
Community activist Lisette Caraballo believes the Palmas, and seven other families, were targeted because they are undocumented immigrants who may be too scared to speak up.
“We’re crying out to the public for help,” Caraballo said.
Dallas County District Attorney Faith Johnson was the Palma’s original civil attorney. Johnson closed her office once she took the position earlier this year. Another attorney is now handing the civil case.
Because of her prior involvement in the civil case, Johnson recused herself from the criminal investigation. A special prosecutor has been appointed. The investigation is ongoing.
Calls the special prosecutor were not returned by deadline.
NBC 5 was not able to reach the company that sold the Palmas their home.
Our partners at the Dallas Morning News reached an attorney for its true owner who said he had no role in the scheme and doesn’t know the people involved.
