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asyKnock, a proptech firm, has ceased operations after abruptly announcing its closure last week. Its website now contains only a brief statement and email addresses for customers with inquiries. The company's business model involved buying homes from owners and renting them back, offering instant cash in exchange for an option to buy the home later.

    However, this approach proved detrimental to many homeowners, who were left evicted by EasyKnock for missed payments. According to investigative reporting, these individuals lost tens of thousands of dollars in equity and were often unable to repurchase their homes. Over two dozen lawsuits have been filed against the company, with several states investigating its practices.

    In May, Michigan's attorney general sent a cease and desist letter, alleging "unfair and deceptive trade practices." EasyKnock had previously settled with Massachusetts' attorneys general over an equity-skimming scheme, where it allegedly bought homes at low prices and rented them back for unfair rents. The company suspended operations in the state as a result.

    The Federal Trade Commission has issued a consumer alert regarding sale-leasebacks, although not specifically targeting EasyKnock. Following its closure, tenants are left uncertain about their landlord status, with some receiving notices that property management is being transferred to NESE Property Management.