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CA
Rocket Cos. accused of mortgage steering
['News Service Reports']
Press Telegram
Up until its acquisition of Redfin last July, Rocket Cos. had its own real estate listing website that routed potential buyers to independent real estate agents and brokerages.
The lawsuit claims Rocket rewarded agents who steered clients to Rocket Mortgage and away from other lenders and threatened punishment for those who didn’t.
The lawsuit alleges Rocket Cos. pressured agents to reach a goal of four out of every five clients using Rocket Mortgage.
“Agents steering clients exclusively to Rocket Mortgage, as opposed to recommending multiple lenders and shopping around, had a negative financial impact on clients,” Berman wrote.
Redfin brought inThe steering practice allegedly continued with Redfin agents after Rocket Cos. acquired the real estate listing company for $1.75 billion in July.