T
he Federal Trade Commission (FTC) has reached a proposed settlement with Dallas-based single-family home rental company Invitation Homes over concerns about its business practices. The company will pay $48 million, which will be refunded to affected consumers and renters. The FTC alleged that Invitation Homes engaged in unfair and deceptive tactics, including adding mandatory "junk fees" for applications and services, withholding security deposits at a rate lower than the national average, and intentionally steering renters away from filing CDC declarations during the pandemic.

    FTC Chair Lina M. Khan stated that Invitation Homes preyed on tenants through various unfair tactics, and no American should be forced to pay more rent or face eviction due to corporate landlords' actions. The company maintains that the settlement is not an admission of guilt and will continue to strive for industry-leading practices.

    As part of the settlement, Invitation Homes must make several changes, including providing transparent information about housing costs, ceasing to charge security deposits for normal wear and tear, and notifying renters of local eviction laws and programs. The company can no longer conduct evictions against people who have already moved out and notified Invitation Homes of their departure.