WA home sellers, who paid illegal fees, to get refunds, AG says

July 29, 2026 - 01:36

The Oregon Attorney General's office announced a settlement with a homebuilder accused of forcing home sellers to pay illegal fees disguised as charitable donations. The builder, which operated in the Portland metro area, allegedly required buyers to contribute to a specific nonprofit as a condition of purchasing a home. State investigators determined that these mandatory donations violated Oregon's consumer protection laws, which prohibit tying the sale of a home to payments that do not directly relate to the property's price or closing costs.

Under the terms of the settlement, the homebuilder will refund thousands of dollars to affected home sellers. The company did not admit wrongdoing but agreed to stop the practice and pay restitution. The attorney general's office said the illegal fees often added thousands of dollars to the cost of a home, catching buyers off guard during an already stressful process. Officials urged anyone who purchased a home from the builder in recent years to contact the state's consumer protection division to verify their eligibility for a refund.

The case highlights a broader crackdown on hidden fees in the housing market. While charitable donations are common in real estate, they must be voluntary. When a builder or agent makes them a requirement, it crosses a legal line. The settlement sends a clear message that such tactics will not be tolerated, especially in a market where home prices are already high.