Company accused of buying unsound homes and renting them out
The Wisconsin Department of Justice has filed a lawsuit against Vision Property Management (VPM) for allegedly deceiving Wisconsin consumers to lease, rent, or purchase uninhabitable properties in violation of the State’s landlord-tenant and mortgage banking laws.
According to the complaint, South Carolina-based VPM buys shabby, often foreclosed houses in the country and then lets consumers purchase, lease or rent the unsound properties – nearly 200 of which were in Wisconsin.
Tenants were allegedly persuaded to lease the properties in the hopes of purchasing them in the future, but were required to fix the properties – including paying overdue taxes and settling any unresolved building code violations – within three to four months. VPM evicts tenants who fail to do so, and repeats the cycle, said the department.
“Companies in Wisconsin whose business model relies on deceiving consumers have no place in our state,” said Attorney General Schimel. “DOJ works hard to keep the public safe whether that is in the area of consumer protection or the fight against opiates and drug abuse.”
He said the complaint “should come as no surprise as VPM has come under scrutiny in Maryland and Pennsylvania, and has been the subject of investigative reporting in The New York Times.”
VPM also reportedly rented out residential properties with sewage in the basement, black mold, insect infestation and other building code violations.
Related stories:
City takes action on ‘predatory’ foreclosed-home seller
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According to the complaint, South Carolina-based VPM buys shabby, often foreclosed houses in the country and then lets consumers purchase, lease or rent the unsound properties – nearly 200 of which were in Wisconsin.
Tenants were allegedly persuaded to lease the properties in the hopes of purchasing them in the future, but were required to fix the properties – including paying overdue taxes and settling any unresolved building code violations – within three to four months. VPM evicts tenants who fail to do so, and repeats the cycle, said the department.
“Companies in Wisconsin whose business model relies on deceiving consumers have no place in our state,” said Attorney General Schimel. “DOJ works hard to keep the public safe whether that is in the area of consumer protection or the fight against opiates and drug abuse.”
He said the complaint “should come as no surprise as VPM has come under scrutiny in Maryland and Pennsylvania, and has been the subject of investigative reporting in The New York Times.”
VPM also reportedly rented out residential properties with sewage in the basement, black mold, insect infestation and other building code violations.
Related stories:
City takes action on ‘predatory’ foreclosed-home seller
NY landlord indicted for $5 million mortgage fraud
