(Billionaire Warren Buffet, who runs Berkshire Hathaway, wasn’t accused of any wrongdoing, according to the Reuters report.)Ī spokesperson for Trident’s parent, HomeServices of America, said in an emailed statement that the company has “never denied or discouraged access to mortgage loans or other services based on race,” and touted the terms of the settlement agreement as a commitment to closing the racial gap in homeownership.Ī Berkshire Hathaway representative didn't respond to a request for comment.Ī Justice Department spokesperson told me the agency opened an investigation after receiving a referral from the CFPB. by market value, Reuters reported in March. The proportion of mortgages originated by nonbank lenders has been rising steadily since 2013, reaching 77% of all reported mortgages in May 2022, according to the Urban Institute’s Housing Finance Policy Center.Īnd, it’s worth noting that Trident is owned by Berkshire Hathaway Inc, the sixth-largest business conglomerate in the U.S. The lawsuit has broader significance because mortgage companies have replaced banks as the dominant players in the U.S. Trident is also required to establish at least four branch locations within majority-minority neighborhoods in the region, and to pay a $4 million civil fine. The settlement includes $18.4 million to subsidize loans to minority borrowers in Philadelphia and the surrounding metropolitan area.