COLUMBUS, Ohio, Feb. 21 (UPI) -- Buyers of houses in two Ohio subdivisions have sued the developer claiming that they are victims of predatory lending.
The plaintiffs claim that they bought houses from Dominion Homes on an arrangement that was supposed to include interest-rate subsidies and down-payment gifts, which were then added back into the price without their knowledge, the Columbus Dispatch reported. They also say that the houses are worth far less than the value Dominion Homes put on them.
"The effect of the scheme employed by Dominion Homes is to sell homes to unsuspecting consumers worth far less than the amount financed and less than the amount of the appraisal," the complaint said.
The class-action suit involves buyers at two subdivisions in Columbus. The suit also names as defendants Dominion Homes' appraiser and several non-profit organizations, including Nehemiah Corp. of America, a California affordable housing group.
Dominion Homes told the Dispatch it had not yet seen the complaint and could not comment.
