A group of black borrowers whose distressed home loans were sold to investors by the Department of Housing and Urban Development claim they’ve been discriminated against.
The mortgages at issue were originally insured by the Federal Housing Administration and sold through an auction to Lone Star Funds, an equity firm that is based in Dallas.
In their lawsuit, the borrowers claim that Lone Star’s mortgage servicing subsidiary, Caliber Home Loans Inc., didn’t provide them with required options for loan modifications.
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From:: Financing