Justice Department sues Rocket Mortgage and Solidifi

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1. Justice Department sues Rocket Mortgage and Solidifi

The Justice Department has filed a lawsuit against Rocket Mortgage, alleging that the company canceled a Black homeowner's refinance application after she reported that her home was undervalued due to racial bias.

The federal lawsuit was filed on Monday in the U.S. District Court for the District of Colorado against the company and two appraisers, Solidifi U.S. Inc. and Maverick Appraisal Group Inc., and Maverick's CEO, Maksym Mykhailyna.

According to the lawsuit, the woman contacted Rocket Mortgage to refinance her home. The mortgage company contracted with Solidifi Inc. to conduct an appraisal, and Solidifi retained Mykhailyna to complete the appraisal. The Justice Department claims Mykhailyna appraised the home at $640,000, about $220,000 lower than the home's previous valuation.

2. Home prices continue to rise as inventory lags

On Tuesday, Redfin reported that home prices grew 0.5% month-over-month in September on a seasonally adjusted basis. This is the fastest pace since April and the third consecutive month where the growth rate has increased.

On a year-over-year basis, home prices rose 6%, the lowest annual increase since December. This is according to the Redfin Home Price Index (RHPI), which measures the sale prices of homes during a given period, compared to the sale prices for those same properties the last time they were sold.

Redfin notes that mortgage affordability improved in September when rates dropped as low as 6.08%, but home prices are continuing to tick up because demand outweighs supply.

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3. More Nuggets

📈 CoStar revenue reaches $693M in Q3 as Homes.com traffic grows. (Yahoo Finance)

💸 IRS unveils 2025 income tax brackets: Where do you fall? (The Hill)

🏢 JPMorgan’s CEO Jamie Dimon privately supports Kamala Harris. He just won’t say so. (NYT)

🏘️ Down payment assistance programs continue to grow, with an average benefit of $17K. (Housing Wire)

4. NAR hit with another lawsuit over 'forced membership'

Maurice Muhammed, a Pennsylvania real estate broker, has filed a lawsuit against the National Association of Realtors (NAR), the Pennsylvania Realtor Association (PAR), and his local MLS for requiring him to become a Realtor to access the MLS.

He’s asking for no less than $5.6 million in compensatory damages, along with punitive damages, and seeking a permanent injunction requiring NAR, PAR, and GLVMLS to

• Eliminate forced membership,

• Restructure board governance to improve minority representation, and

• Develop alternative MLS systems

Muhammad filed the lawsuit “pro se” (on his own behalf) and has asked the court for a jury trial.

5. 1 fun thing: Top purchased Halloween candy, 2023

When it comes to the most popular candy purchased in every state, Reese’s Peanut Butter Cups dominated the map, claiming the top spot in a jaw-dropping 40 states.

☀️ You’re all caught up. See you on Friday!

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