The country’s largest landlord of single-family rental homes agreed to turn over $48 million as part of a settlement with the Federal Trade Commission for unfair business practices.
The Greater Orlando area is one of Invitations Homes’ largest markets.
The FTC announced the complaint against Invitation Homes, claiming the corporate landlord has been deceptive with renters – charging junk fees and pocketing security deposits.
The agency also accused Invitation Homes of misleading people about eviction policies during the pandemic, when tenants had protections – even pursuing evictions after renters had moved out.
"No American should pay more for rent or be kicked out of their home because of illegal tactics by corporate landlords," FTC Chair Lina Khan said in a statement.
Also in the federal filing are lists of disrepairs, such as plumbing, electrical, and heating and air conditioning service requests. The complaint goes on to list unsafe and unsanitary conditions reported in some of the residences, such as dirt, mold, broken appliances, rodent feces, and exposed wiring.
Invitations Homes stated the agreement puts an end to the FTC’s three-year investigation. The company did not admit any wrongdoing.
“Invitation Homes believes that its disclosures and practices are industry leading,” the company said in a press release, and that it plans to “move forward with its continuous efforts to better serve its customers and enhance its practices.”
On their website, the Dallas-based company claims to offer a “worry-free leasing lifestyle.”
As part of the settlement, the company will have to pay the $48 million, truthfully advertise rent prices and fees, clearly lay out security deposit policies, discontinue the pursuance of illegal evictions, let renters know when there’s federal help and protections available to tenants, and stop other unlawful behavior.
Douglas Farrar, the FTC’s director of the Office of Public Affairs, said the settlement money will be given to people harmed by Invitation Homes.
He said the agency is committed to helping consumers stuck in a consolidated marketplace who are unable to take their business elsewhere and risk being exploited.
“The FTC has long made it a priority to investigate illegal business practices that are harming people, especially working families, in this economy where it's so tough to afford needed medicine and grocery and rent,” Farrar said.
Farrar said consumers who believe they are victims to any companies pursuing illegal or harmful business practices are encouraged to report their complaints to the FTC. Reports can be made on the FTC’s website.
Lillian Hernández Caraballo is a Report for America corps member.
