MV Realty Settlement with Massachusetts AG
Summary
Massachusetts Attorney General Andrea Joy Campbell reached a $2.25 million settlement with MV Realty of Massachusetts, LLC, its CEO, and COO. The settlement resolves allegations of deceptive business practices and predatory mortgage agreements, requiring MV Realty to release obtained mortgages and saving consumers at least $7 million.
What changed
Massachusetts Attorney General Andrea Joy Campbell announced a $2.25 million settlement with MV Realty of Massachusetts, LLC, its CEO Antony Mitchell, and COO David Manchester. The settlement resolves allegations that MV Realty engaged in deceptive marketing and predatory practices by offering a "Homeowner Benefit Agreement" that functioned as a loan, encumbering homes with 40-year mortgages in exchange for small cash payments. The company targeted financially struggling homeowners, falsely implying its product was a government program and that there was no repayment required.
Under the terms of the agreement, MV Realty will pay $2.25 million to the Commonwealth, with $1.85 million suspended pending compliance. The company must release all deceptively obtained mortgages, providing at least $7 million in relief to Massachusetts consumers. This action stems from a lawsuit filed in December 2022. Regulated entities should review their marketing and sales practices to ensure compliance with consumer protection laws and avoid deceptive representations, particularly when targeting vulnerable populations.
What to do next
- Review marketing and sales practices for deceptive representations.
- Ensure clarity on loan terms and repayment obligations.
- Consult legal counsel regarding compliance with consumer protection laws.
Penalties
$2.25 million settlement, with $1.85 million suspended contingent upon compliance. MV Realty must release deceptively obtained mortgages, saving consumers at least $7 million.
Source document (simplified)
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Press Release
Press Release AG Campbell Reaches $2.25 Million Settlement with MV Realty Over Deceptive Business Practices and Predatory Mortgage Agreements
Under the Terms of the Agreement, MV Realty Must Release Deceptively Obtained Mortgages, Saving Massachusetts Consumers At Least $7 Million
For immediate release: 3/11/2026
- Office of the Attorney General
Media Contact
Kennedy Sims, Deputy Press Secretary
Phone
Call Kennedy Sims, Deputy Press Secretary at (617) 727-2543
Online
Email Kennedy Sims, Deputy Press Secretary at Kennedy.Sims@mass.gov
BOSTON — Massachusetts Attorney General Andrea Joy Campbell today announced a $2.25 million settlement agreement with MV Realty of Massachusetts, LLC -- the Massachusetts subsidiary of Florida-based financial company, MV Realty, as well as the company’s CEO Antony Mitchell and COO David Manchester. The settlement resolves allegations that the company deceptively presented itself as a real estate brokerage, while it aggressively marketed a deceptive loan product to financially struggling homeowners in Massachusetts.
Under the terms of the agreement, MV Realty and its CEO will pay $2.25 million to the Commonwealth, with $1.85 million suspended, contingent upon the defendants’ compliance with the agreement. The agreement will also prevent MV Realty from enforcing its agreements with consumers and require the final release of its deceptively obtained mortgages, saving Massachusetts residents at least an additional $7 million.
“For most Massachusetts residents, a home is their most valuable asset and an enduring symbol of the American Dream. MV Realty knowingly used malicious marketing practices to take advantage of hundreds of cash-strapped homeowners across Massachusetts, stripping home equity from buyers and owners,” said AG Campbell. “While this settlement agreement cannot undo all the harms caused by MV Realty, it will provide meaningful relief for impacted homeowners and hopefully help them regain a sense of stability.”
The settlement agreement stems from a lawsuit filed by the Attorney General’s Office (AGO) in December 2022, alleging that, through unfair and deceptive marketing and sales tactics, MV Realty concealed the true terms of its contracts, which effectively function as loans and encumber homes through recorded mortgages. MV Realty sold a product called a “Homeowner Benefit Agreement” that offers small dollar cash payments, typically less than $1,500, in exchange for a 40-year exclusive right for MV Realty to act as the listing brokerage when the homeowner decides to sell. The contract also requires the homeowner to pay MV Realty on virtually any other transfer of the home like a death or foreclosure.
The AGO also alleged that MV Realty targeted consumers searching for information on small loans or public benefits with advertisements that falsely implied that its product was a government program, promotion, or giveaway. The company also targeted vulnerable consumers using search terms like “government home improvement grant” and “help for seniors with home repairs.” Its advertising included phrases like “Remember, because it’s not a loan, there is NO repayment” and “you NEVER repay these funds.”
According to the AGO’s allegations, once MV Realty obtained a lead, salespeople would harass homeowners with a barrage of phone calls, texts and emails to secure a deal. Salespeople for MV Realty took numerous steps to ensure homeowners did not read through or understand the contracts, including not providing documents in advance for consumers to read, printing documents in size 8.5-point font, not leaving copies after consumers signed the contract and sending mobile notaries who knew nothing about the product to rush homeowners to sign.
The AGO also alleges that, as a result of these practices, MV Realty customers were unaware of the core terms of the transaction and were unknowingly saddled with a mortgage on their home, tying up what was most likely their most valuable asset, restricting their ability to refinance and preventing them from selling without paying a tenfold penalty to MV Realty.
In March 2023, AG Campbell secured a preliminary injunction, preventing MV Realty from engaging in unfair and deceptive marketing practices, prohibiting the company from obtaining or recording additional mortgages, and requiring the release of existing mortgages. As outlined in the terms of the agreement, once approved by the Court, the terms of the injunction will become permanent.
This case is being handled by Assistant Attorneys General Eric Carnevale, Alda Chan and Daniel Bahls, Senior Trial Counsel Peter Downing, and Paralegals Chiara McNally, Aidan Goldberg, and Sarah Most, all from the AG’s Consumer Protection Division, with assistance from Director Marlee Leo and Investigator Melissa Herriford of the AGO’s Civil Investigations Division.
Media Contact
Kennedy Sims, Deputy Press Secretary
+
Phone
Call Kennedy Sims, Deputy Press Secretary at (617) 727-2543
Online
Email Kennedy Sims, Deputy Press Secretary at Kennedy.Sims@mass.gov
Office of the Attorney General
The Attorney General is the chief lawyer and law enforcement officer of the Commonwealth of Massachusetts.
Media Contact
Kennedy Sims, Deputy Press Secretary
Phone
Call Kennedy Sims, Deputy Press Secretary at (617) 727-2543
Online
Email Kennedy Sims, Deputy Press Secretary at Kennedy.Sims@mass.gov
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