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$48M refund for Invitation Homes renters
Rented from Invitation Homes? You could be getting some money back. Heather Sullivan has all the details on a $48 million refund for renters!
Houston - If you've rented a house from Invitation Homes, you may have some money coming back to you.
Invitation Homes has agreed to refund $48 million to renters after the Federal Trade Commission accused the company of unfair rental and eviction practices.
Invitation Homes is the largest home rental company in the nation and rents out 2,300 homes in the greater Houston area.
The company says it will pay $48 million to settle the case, but is not admitting wrongdoing.
Renters we talked to tell a different story.
"Here on the ceiling, I had reported … you can see it’s cracking across the ceiling," said Brandy Johnson, who rents a Houston area house from Invitation Homes.
Johnson says the company had to replace her stove and microwave after she moved in because they didn't work.
And she says she's had trouble getting some other problems fixed.
"You can see in the A/C, some black stuff when you turn it on and I've complained about it," she said, pointing out a ceiling air vent.
Johnson says she's been hit with a couple of hundred dollars worth of unexpected fees each month.
"We have smart home fees, home air filter fees. We also have the fee because they don’t allow you to change the water to your name, so you pay an additional fee for that," she said.
Johnson is not alone. The Federal Trade Commission says Invitation Homes has agreed to refund renters $48 million. The FTC says the company failed to disclose junk fees that could total up to $1700 a year for renters, rented numerous homes in disrepair, and was sometimes slow to make repairs.
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"There was a woman who was six months pregnant and for several days during a very cold period of winter who was unable to get her heat fixed," said Douglas Farrar with the Federal Trade Commission.
The FTC says the company withheld security deposits for normal wear and tear and pre-existing damages, and steered renters away from signing the Centers for Disease Control's eviction moratorium declaration during the pandemic.
"The company continued to evict people and charge people for rent. In fact, they would even evict people after they moved out, or after they submitted a CDC declaration," said Farrar.
Dallas-based Invitation Homes issued a statement saying it does not admit wrongdoing and reads:
"Invitation Homes Inc. has reached agreement with the Federal Trade Commission resolving the FTC’s civil investigation into certain company business practices. As part of the resolution, Invitation Homes will pay the FTC $48 million in monetary relief, with no civil penalties. The agreement contains no admission of wrongdoing by Invitation Homes.
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Invitation Homes believes that its disclosures and practices are industry leading, both among its professional peers as well as the millions of smaller owners of single-family homes for lease. Today’s agreement brings the FTC’s three-year investigation to a close and puts this matter behind the Company, which will, as always, move forward with its continuous efforts to better serve its customers and enhance its practices. Invitation Homes remains committed to providing a high-quality living experience for individuals and families who want flexibility and choice in housing and to transparency with all stakeholders."
But Johnson isn't buying it.
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"To hear that somebody has finally done something and has dug into this company, and that we’re going to get money back as renters, I am excited! I am waiting for it," said Johnson.
The FTC says it will contact renters who are owed a refund within the next couple of months. Renters having issues with Invitation Homes or any landlord can file a complaint with the FTC at ReportFraud.FTC.gov.