Landlord News
Dallas landlord must pay $48 million for charging bogus fees to tenants
Home for rent in Grand Prairie.
A Dallas-based company that rents out single-family homes will pay $48 million to settle claims by the Federal Trade Commission that it reaped millions of dollars via deceptive business practices — including forcing tenants to pay undisclosed fees on top of their monthly rent.
Invitation Homes, based in Dallas, is the nation's largest owner of single-family homes for rent. As of June 30, the company owned or managed more than 109,000 homes across the U.S. including numerous properties in Dallas-Fort Worth,
In the complaint, filed in federal court in Atlanta, the FTC claims that the Dallas-based company used “deceptive advertising and unfair practices” to charge millions of dollars in bogus fees that harmed tens of thousands of people.
These "mandatory" fees included charges for internet packages, air-filter delivery, and other services, and were not disclosed in the monthly rental rates that Invitation Homes advertised, the FTC claims.
The FTC alleges that between 2021 and June 2023, he company charged consumers tens of millions of dollars in junk fees as part of their monthly rental payments.
The agency also claims that Invitation Homes systematically withheld tenants' security deposits after they moved out, unfairly charged them for normal wear-and-tear, and used “unfair eviction practices,” including starting eviction proceedings against renters who had already moved out.
Under the terms of the proposed settlement, Invitation Homes also agreed to ensure it is clearly disclosing its leasing prices, establish procedures to handle tenant security-deposit refunds fairly, and cease other unlawful practices.
The funds from the settlement, which is subject to approval by a federal judge, would go toward customer refunds.
The company rents out homes in Atlanta, the Carolinas, Chicago, Dallas, Denver, Houston, Jacksonville, Las Vegas, Minneapolis, Northern California, Orlando, Phoenix, Seattle, South Florida/Miami, Southern California, and Tampa.
In the Dallas area, many of the 248 homes they have listed are located in the 'burbs such as Rockwall, Keller, Forney, Grand Prairie, and range from $1,949 to $3,000, such as this 3-bedroom 2-bath home in Grand Prairie, available for $1,949 which includes $85 per month for internet, $9.95 per month for "air filter delivery," and $40 per month for a "Smart" doorbell.
Lucille is a 265-unit community that will rise 22 stories in the sky.Rendering courtesy of HKS