This was pretty much exactly how it sounds. People in financial trouble sell their house to the lender with an agreement to rent it from the lender and keep living there, then the lender jacks up the rent and they get evicted and the house is sold. After fees and everything else they may not get to keep much of the equity from the house sale and potentially could lose all equity and end up owing the lender. As tenants they don’t have all the legal protections a homeowner in foreclosure would have. The lender claims all its customers know what they are getting into.