Hagens Berman: Homebuyers Sue Rocket Mortgage and Affiliated Companies in Class Action Alleging Illegal Practices Inflating Home Prices

Core Viewpoint - A new consumer class-action lawsuit has been filed against Rocket Companies, alleging that the company pressured real estate agents to direct clients to Rocket Mortgage, resulting in disadvantageous loan terms for homebuyers [1][2]. Group 1: Allegations and Practices - The lawsuit claims that Rocket Companies exploited homebuyers' vulnerabilities for profit by steering them towards Rocket Mortgage, despite the terms being unfavorable [2][4]. - The practice of steering is described as an illegal influence on clients' decisions, diverting them from more cost-effective loan options [2][9]. - Rocket Homes allegedly operated a referral network that required agents to pay a 35% referral fee, compelling them to direct clients to Rocket Mortgage [5]. Group 2: Financial Impact and Growth - The lawsuit highlights that Rocket's steering practices have been financially successful, with a reported 148% year-over-year revenue growth in Q3 2025, amounting to $1.78 billion [6]. - The firm Hagens Berman believes that hundreds of thousands of consumers have been misled by Rocket's practices, as indicated by the significant revenue growth [6]. Group 3: Legal Framework and Claims - The lawsuit alleges violations of the Real Estate Settlement Procedures Act (RESPA) and seeks various forms of damages and injunctive relief to stop the alleged steering practices [7]. - A four-year federal investigation by the Consumer Finance Protection Bureau revealed that consumers were harmed by Rocket's steering practices, which led to higher interest rates and fewer cost-saving opportunities [8][9].