DMX says his estranged wife is suffering from delusions of grandeur -- telling TMZ, she insists on living in a house she can't afford, refusing to pay a single bill ... and that's why the bank is rearing its ugly head.
TMZ broke the story ... DMX's house in fancy Mt. Kisco, New York is in foreclosure after the rapper stopped paying the mortgage in 2008.
The house is in DMX's name -- but the rapper tells us, he stopped living there in 2005 and his wife Tashera agreed to take over all financial responsibilities related to the home, including mortgage payments.
X claims Tashera then withdrew $100,000 from his bank account while he was in jail -- without his permission -- and didn't even use it to pay the mortgage. He says he has no idea what she actually did with the money.
He tells us, "I told her she is living above her means, that you can't still live on the same block as Martha Stewart and Chevy Chase, you gotta downgrade, but she refuses to do so because the house is in my name. She doesn't give a f*** about my credit."
Attempts to reach Tashera were unsuccessful.
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