First of all, you signed the mortgage loan application. Whatever "overstating" of finances was on it, you agreed to and, therefore, you were the one that committed fraud.

You didn't have the money to pay your mortgage payments so you would have lost the home to foreclosure if you hadn't been able to sell it. Nothing illegal about that.

You lost a lawsuit because you tried to renege on the sales contract. You couldn't afford a lawyer to defend you on that. Besides, your attempted breach of that contract had nothing to do with your mortgage loan.

Even on the remote chance that you could win a lawsuit against your lender (you have a better chance of winning the lottery or getting hit by lightning) you still won't get the house back since it's already been sold.

Lastly, do you have the $20,000 or more that it would take for the attorney fees to pursue a lawsuit against a lender?

If you have that kind of money then I suggest you buy another house and get on with your life.

If you don't have that kind of money I doubt if any lawyers will give you the time of day.