#mortgage-steering

#mortgage-steering

The plaintiffs are represented by Hagens Berman, a consumer protection law firm that was also involved in similar litigation against Zillow and the National Association of Realtors. In a press release announcing the action, the law firm said that Rocket including its affiliates Rocket Mortgage, Amrock Holdings and Rocket Homes Real Estate, which were also named as defendants conspired to pressure clients to use Rocket's mortgage company to finance their purchase.

Testimony from the 12 additional witnesses includes claims that Zillow personnel fly to real estate offices to instruct Zillow Flex agents in person on the need to meet Zillow Home Loans (ZHL) quotas to avoid putting things in writing, and that Zillow's loan officers frequently misrepresent or omit important details about borrowers' true closing costs, leading buyers to pay excessive costs or lose the house.

Borrowers have added new details in an amended complaint alleging that loanDepot engaged in a sophisticated, years-long scheme to steer customers into higher-rate loans to inflate its performance ahead of its 2021 initial public offering (IPO). The class-action lawsuit, filed in July in Maryland, claims the lender required loan officers (LOs) who couldn't push higher-cost loans to transfer borrowers to internal loan consultants (ILC).