We Buy Ugly Houses Franchise Owner Sentenced for $40M Fraud

Charles Carrier, the former owner of the Dallas franchise for "We Buy Ugly Homes," has been sentenced to over 15 years in prison following his guilty plea to a multi-million-dollar real estate fraud scheme. Between 2018 and 2024, Carrier defrauded dozens of investors out of more than $39 million. He falsely claimed that investor funds would be used for acquiring, renovating, and reselling properties through the HomeVestors "We Buy Ugly Houses" brand. However, the funds were instead diverted for Carrier's personal expenses and to make payments to earlier investors, operating as a Ponzi scheme. Carrier also engaged in forging multiple property deeds and selling properties without disclosing these actions to investors. An investigation by ProPublica revealed that Carrier had taken out as many as five loans on a single property simultaneously. The "We Buy Ugly Houses" model, operated by HomeVestors, focuses on purchasing distressed properties from motivated sellers with all-cash offers. These properties are then typically flipped for a profit or sold to other investors. The "ugly" aspect refers to targeting homeowners in difficult situations, such as those facing divorce, death, or foreclosure. Homeowners often accept a below-market offer in exchange for a swift transaction that resolves their financial distress. Carrier targeted both affluent investors across Texas and retirees who were relying on their savings, according to the U.S. Attorney's Office of the Northern District of Texas. In a statement to ProPublica in 2025, Carrier indicated that the scheme concluded when he decided to confess. He stated, "When this thing finally stopped, it was completely driven by me saying ‘enough’ and going to the people and saying, ‘Here’s the mess I’ve created.’ This is a mess created by me." Carrier originally established his "We Buy Ugly Houses" franchise in 2005. For many years, he was recognized as a successful franchisee within the HomeVestors network. Ben Ahern, another HomeVestor franchisee, told ProPublica that Carrier had been considered "one of the golden boys at HomeVestors" for approximately 15 years, indicating his prior standing within the organization.