The Consumer Financial Protection Bureau (CFPB) sued Rocket Homes, accusing it of providing incentives to real estate brokers and agents in exchange for steering homebuyers to Rocket Mortgage, LLC for loans.

The CFPB also sued real estate brokerage firm JMG Holding Partners LLC, which does business as The Jason Mitchell Group, the firm’s owner Jason Mitchell, and the individual brokerage companies in the 41 states and the District of Columbia where it does business for their alleged role in the scheme.

The suit alleged Rocket Homes violated RESPA by providing kickbacks in exchange for referrals and requiring brokers and agents to steer homebuyers toward Rocket Mortgage. It also alleged The Mitchell Group and Jason Mitchell violated RESPA through participating in the scheme.

“Rocket engaged in a kickback scheme that discouraged homebuyers from comparison shopping and getting the best deal,” CFPB Director Rohit Chopra said. “At a time when homeownership feels out of reach for so many, companies should not illegally block competition in ways that drive up the cost of housing.”

The CFPB said its investigation found Rocket Homes gave referrals and other incentives to real estate brokerages with the understanding the brokers and agents would refer settlement services business to Rocket Mortgage and Amrock, a Rocket affiliate.

The CFPB also accused Rocket Homes of pressuring real estate brokers and agents not to share information with their clients concerning products not offered by Rocket Mortgage, such as down payment assistance programs.

The CFPB’s lawsuit seeks redress for harmed borrowers and the imposition of a civil money penalty.

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