Utah, FTC, and Three States Reach $48.5 Million Settlement with Major Single-Family Landlord

The Utah Department of Commerce’s Division of Consumer Protection alleges Progress Residential and owner Pretium Partners hid mandatory fees, kept security deposits for illegitimate charges, and barred negative reviews

SALT LAKE CITY, Utah — Progress Residential sold renters on a “dream rental home” and “hassle-free living.” According to the complaint, its own executives called it a “Broken Customer Experience.” The Utah Division of Consumer Protection, represented by the Office of the Utah Attorney General, joined the Federal Trade Commission and the attorneys general of Arizona, Colorado, and Indiana in filing a complaint against Progress Residential and its private equity owner, Pretium Partners, along with a proposed stipulated order that would require the companies to pay $48.5 million and overhaul how they price, rent, and manage their homes.
 

Progress manages more than 90,000 single-family rental homes across 17 states. The complaint alleges that the companies:
 

• Advertised monthly rent that left out mandatory fees for smart home devices, air filters, landscaping, pest control, and more, adding $30 to $330 or more to each month’s bill
• Collected nonrefundable application fees of up to $55 per adult and holding fees of up to $500 before revealing the true monthly cost
• Digitally altered listing photos to remove dirt from walls and carpets and add appliances into listing photos of homes that were not move-in ready
• Deducted security deposits for normal wear and tear and for damage that existed before residents moved in
• Used lease terms that barred residents from posting negative reviews
   

The complaint further alleges that company leaders knew of the problems. In 2023, after learning Progress had failed to refund fees it owed residents, the company’s then-CEO told staff not to change course: “I am not taking $1M impact to do the right thing.”
 

“Housing affordability is one of the greatest challenges facing consumers today, and Progress Residential exploited this vulnerability by misleading renters and concealing additional fees. Their relentless pursuit of profit drove up costs for families seeking a place to call home,” said Utah Department of Commerce Commissioner Margaret Woolley Busse. “This settlement is a crucial step toward holding them accountable and ensuring transparency for renters moving forward.” 
 

Under the proposed order, Progress and Pretium must:
 

• Pay $48.5 million, which the FTC may use to refund affected consumers
• Display the total monthly rental price, including all mandatory fees, more prominently than any other price
• Stop charging residents for normal wear and tear, pre-existing conditions or upgrades
• Send an itemized statement of any deposit deductions within 30 days of move-out
• Keep inspection photos and records and give them to residents on request
• Stop using or enforcing any lease term that restricts reviews
• Stop charging late fees or pursuing eviction when the company’s own payment portal fails
   

The companies also agreed to pay Arizona $1.25 million in attorneys’ fees and costs. Progress and Pretium neither admit nor deny the allegations. The order takes effect upon entry by the court.  

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