Would-Be Buyers Screwed Over In Rent-To-Own Racket Involving Homes In F'closure Complain To Local Prosecutor; Ripoff Is Treated As A Civil Matter

In Umatilla, Florida, WFTV-TV Channel 9 reports:

• Several families claim a Central Florida company offering rent-to-own homes, never told them the properties were in foreclosure. After moving in, they say, serious repairs were ignored and they lost all their money. Dozens of signs dot Central Florida front yards reading 'Rent to own homes by Otto Beyer Enterprises' and many families who called lived to regret it.

• "Termites came right through the walls and right into our furniture." Stephanie Hayes claims the Leesburg home fell down around her family. According to Stephanie she invested 3 thousand dollars in down payment and repairs when a bank foreclosure forced them out. Stephanie called Otto Beyer Enterprises. "We told her we put all this money into the house and never once did you tell us its in foreclosure and she said that's just too bad."

• Courthouse records show Beyer Enterprises owns at least 70 homes but it's in bankruptcy and many of the homes are in foreclosure. Tisha Liptart invested in a home then was forced out because of a foreclosure. "You don't think people would do that to you."

• The families told us serious repair issues were neglected. That seems minor compared to what happened at a home the company owned near Silver Springs that burned to the ground.

• Five children died in the house last November. The state fire marshal is investigating. The agency listed a space heater, cigarettes, and the home's wiring as possible causes. Published reports quote a former tenant who claimed he had electrical problems when he lived there.

• At it's office near Leesburg we attempted to ask company managers about it's rent to own history. The company said because of the fatal fire its been advised not to answer any questions. But later its attorney said tenants could have stayed longer, and did not pay their rent.

• "If we didn't like it we could walk out and we lost the money," said Stephanie Hayes. Some families say they complained to the state attorney claiming the company knew they could be forced out when it took their cash. But so far it's remained a civil matter.

Source: Families Claim To Lose Thousands In Foreclosure Rental Homes.