Invitation Homes agrees to pay $48 million to settle claims it saddled tenants with hidden fees

The nation’s largest owner of single-family homes for rent has agreed to pay $48 million to settle claims by the Federal Trade Commission that it reaped millions of dollars via deceptive business practices, including forcing tenants to pay undisclosed fees on top of their monthly rent.

Under the terms of the proposed settlement, Invitation Homes also agreed to ensure it is clearly disclosing its leasing prices, establish procedures to handle tenant security-deposit refunds fairly and cease other unlawful practices, the FTC said Tuesday.

In the complaint, filed in federal court in Atlanta, the FTC claims that the Dallas-based company used “deceptive advertising and unfair practices” to charge millions of dollars in bogus fees that harmed tens of thousands of people.

These mandatory fees, charged for internet packages, air-filter delivery and other services, were not disclosed in the monthly rental rates that Invitation Homes advertised, the FTC claims.