The Florida Attorney General recently sued MV Realty company. The Attorneys General of two other states also sued. All three states have accused the company of predatory lending. The real estate dispute concerns supposed “services” that the company has provided under contract (to the tune of $40 million) to homeowners throughout the country.
The company adamantly denies that it has taken advantage of financially strapped homeowners. Company representatives say the service is legitimate and includes giving $1,000 to homeowners, who then agree to retain MV Realty as their broker if they decide to sell their homes within the next 40 years. If they choose not to use MV Realty’s brokerage services, they must pay the company 6% of their home’s sale price or market value (as determined by the company).
Homeowner benefit program or predatory loan?
The lawsuits against MV Realty accuse the company of deceptive practices with homeowners. Allegedly, homeowners have been offered money under the guise of a real estate service agreement when, in fact, they are making predatory loans that violate real estate laws. Moreover, it is claimed that the company offers its services to a predominantly black clientele.
Real estate disputes like these are complex and often difficult to resolve. It is always best to seek guidance and support from an experienced legal team before heading to court. Such counsel is often the key to achieving a favorable outcome.