Some Seller-Financed Deals Putting Poor People At Risk

[Eleena de Lisser]

Excerpt: 

Throughout the country, tens of thousands of rundown homes have been scooped up by investment companies that have offered high-interest financing or rent-to-own deals largely to poor people. Many of these homes were foreclosed on during the housing crisis.

These investors, however, often put no money toward renovation, or for fixing lead paint problems. The low-income buyers and renters are forced to make all repairs. When there are serious problems with the homes, victims can be required to sign confidentiality agreements to keep them quiet in a settlement after they have been compensated, as happened in Ms. Bennett’s case.

As a result, seller-financed housing contracts have aggravated a persistent problem of lead poisoning among young children in this country.

Complete story here.