Progress Residential to Pay $49.75M to Settle Deceptive Rent Pricing Charges
The FTC and four states reached a $49.75M settlement with Progress Residential and Pretium Partners over hidden fees and misleading rental pricing.
Progress Residential, the largest single-family rental home property manager in the United States, and its private equity owner Pretium Partners have agreed to pay $49.75 million to settle federal and state charges alleging deceptive rental pricing practices, the Federal Trade Commission announced.
The FTC, acting alongside four state attorneys general, accused the companies of misleading prospective tenants through advertised rental prices that failed to reflect the true cost of renting. Regulators also alleged the companies improperly withheld security deposits from tenants, compounding financial harm to renters.
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Under the terms of the proposed settlement order, Progress Residential and Pretium Partners must advertise accurate rental prices, clearly and conspicuously disclose all fees to prospective tenants, and cease the practice of improperly withholding security deposits. The conditions represent a significant operational shift for a company that manages homes across numerous U.S. markets.
The case reflects intensifying regulatory scrutiny of large institutional landlords, particularly private equity-backed firms that have expanded aggressively into the single-family rental market over the past decade. Critics have argued such companies exploit information asymmetries with renters who may not fully understand the gap between advertised and actual housing costs.
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