Attorney General Settles with Kirkland-Based Real Estate Lead Company

SEATTLE – Attorney General Rob McKenna announced a settlement with a Kirkland-based company that sells leads to real estate agents on a subscription basis. HouseValues, Inc. is accused of misrepresenting the quality of information it provides and misrepresenting subscribers’ cancellation rights.

The settlement filed Monday in King County Superior Court resolves allegations that HouseValues, Inc., doing business as HouseValues.com and JustListed.com, violated the state’s Consumer Protection. The company didn’t admit any wrongdoing but agreed to comply with injunctive provisions concerning its  business practices, waive any fees owed by consumers who filed complaints with the Attorney General’s Office and other specified consumer agencies, and pay $51,000 in costs and attorneys’ fees.

“Washington businesses cannot mislead consumers about the quality or character of their products,” Assistant Attorney General Shannon Smith said. “Consumers are entitled to accurate information before they decide to make a purchase.”

HouseValues sells leads to real estate agents in the United States and Canada for hundreds of dollars per month and markets its services through telemarketing and TV, radio and Internet ads. The company obtains its inventory of leads from individuals who provide information by accessing the Housevalues.com and Justlisted.com Web sites.

The Housevalues.com site offers prospective sellers a free home valuation report. Once a homeowner enters the information online, HouseValues sends that information to a subscribing real estate agent, who will contact the person and offer to provide the person with a suggested listing price.

Justlisted.com offers free listings. Interested buyers enter their personal information, which HouseValues sends to real estate agents that subscribe to its service.

For the rest of this real estate related article please visit www.atg.wa.gov.