I honestly dont think its a puppy mill. My male yorkie max. I purchased him for $500.00 also because he was a little bit older. The same thing she likes to sell her dogs around 10-12 week old line, but my dog was 14 weeks. He is also a large male, right now at 9 months he weighs 8 pounds. My breeder has been doing this for 20+ years and she also has many other yorkies that sell for $1500+. So honestly what this lady is telling you, I believe its true because that is exactly what happen to me. R u interested in studding out your dog eventually? If so, there might be a problem finding a female, because im in the same boat now, my male is too big for a yorkie female. So something to think aobut..