Real Estate Startup,Opendoor, Agrees to Pay $62M to Settle False Advertising Claims

A prominent iBuyer’s marketing tactics opened the door to a big penalty from the Federal Trade Commission.

The FTC fined Opendoor $62 million, saying the iBuyer misled customers by saying they could make more money selling homes to the company than via the traditional route, Insider reported. The fine is part of a settlement with the agency.

According to the FTC, Opendoor’s marketing materials appeared to promise consumers would make more selling to the company because all fees were bundled together. The agency, however, found consumers often paid more. It also found Opendoor on average paid below market values for homes.