Aceable level 7 chapter 1

Finding the Right Words to promoting fair housing

According to HUD, there are certain terms and phrases that should be avoided altogether in advertising. Some of these phrases include: 🚫 "Exclusive neighborhood" or "family neighborhood" 🚫 "Bachelor pad" 🚫 "Man cave" 🚫 "No kids allowed" 🚫 "Desirable neighborhood" 🚫 "Mother-in-law suite" 🚫 "Master bedroom" or "master suite"

So what kind of words CAN be used in advertisements?

"Great view" "Walk-in closets" "Jogging trails" "Bus stop" "Non-smoking" "Two bedroom" "Bicycles allowed" "Wheelchair ramp"

Harassment

If a tenant is experiencing harassment, the property manager needs to do everything possible to end the harassment if they have the power to do so. A property manager should be vigilant in making sure no harassment is occurring.

When Is It Okay to Say No? there are two groups that a real estate license holder has the legal right to turn down in certain situations:

People too young to enter a legal contract People who don't have the means to obtain a home loan

Protected Classes

Race Color Religion National origin Sex Disability Familial status

Exemption #2: to fair housing laws

Rental of Rooms or Units in Owner-Occupied Property Mrs. Murphy Exemption This exemption is typically called the "Mrs. Murphy Exemption," based on a hypothetical elderly widow, Mrs. Murphy, who wants to rent part of her home but may want to specifically pick out her tenants. 👵 The Mrs. Murphy Exemption applies on a federal level to every state in the country. Some states, however, have their own fair housing laws that give more stringent protections than those set by the Fair Housing Act. In Texas, the exemption mirrors the federal exemption.

Civil Rights Act of 1968

Shortly after the assassination of civil rights leader Dr. Martin Luther King Jr., Congress, with the help of Texan Lyndon B. Johnson, passed the Civil Rights Act of 1968. The Civil Rights Act of 1968 did a lot for the cause of equality, but it did not make things totally equal. Title VIII of this act, also known as the Fair Housing Act, prohibits discrimination in real estate practices.

Fair Housing Act of 1968

Simply put, the Fair Housing Act says that it is unlawful to refuse to sell, rent to, or negotiate with any person because of that person's inclusion in a protected class.

Steering

Steering is the illegal act of channeling buyers or tenants to certain areas based on demographics. Typically, steering is premised on the notion that the potential buyer will be either incompatible or unacceptable to the residents of a housing area due to their membership in a certain protected class,

First Fair Housing Law

The Civil Rights Act of 1866 was essentially the first law to introduce a protected class (in this case, race) and prevent housing discrimination based on this class.

HUD

The Department of Housing and Urban Development, commonly referred to as HUD, enforces the Fair Housing Act.

Familial Status Protections

The federal Fair Housing Act protects families who have children under 18. This protection also covers pregnant women and people in the process of obtaining legal custody of a child. So even if a landlord doesn't want children living in their building, they cannot legally refuse to rent to families with children.

Civil Rights Act of 1964

Then came the Civil Rights Act of 1964, which included a prohibition against discrimination on the basis of race, color, and national origin in any program or service funded by the federal government. Even after the passage of this law, discrimination still ran rampant through society, so little changed.

Executive Order 11063 of 1962

in 1962, President John F. Kennedy issued Executive Order 11063, which prohibited discrimination in the selling or leasing of property owned or funded by the federal government, including those properties relying upon Veterans Administration (VA) and Federal Housing Administration (FHA) loans. Because only a few transactions were done with federal involvement in those days, the law had few results.

Exemption #3: Dwellings Belonging to Religious Organizations or Private Clubs

Nothing in the law prohibits a religious organization or private club from limiting the sale, rental, or occupancy of a dwelling that it owns or operates for other than commercial purposes to persons of the same religion or club. Private clubs may show preference to club members under similar circumstances. Religious Laws The law allows a religious group to sell or rent to people only of their same beliefs. There are some subdivisions in Texas in which this occurs. The deed restrictions specifically only let in certain people with similar beliefs to live in the area. Keep in mind that this would have to be a real estate development that has been established to include people of that particular religion and to exclude others who do not have the same beliefs. It couldn't be, on the other hand, a whole side of town that is full of people of a particular religion.

What the Fair Housing Act. outlaws

Refusal to sell or rent a dwelling to any person because of race, color, religion, sex, disability, familial status, or national origin Discrimination based on race, color, religion, sex, disability, familial status, or national origin in the terms, conditions, or privileges of sale or rental of a dwelling Advertising the sale or rental of a dwelling indicating preference, limitation, or discrimination based on race, color, religion, sex, disability, familial status, or national origin Coercing, threatening, intimidating, or interfering with a person's enjoyment or exercise of housing rights based on discriminatory reasons or retaliating against a person or organization that aids or encourages the exercise or enjoyment of fair housing rights

Disability Protections

Federal laws define a person with a disability as any person who has a physical or mental impairment that substantially limits one or more major life activities; has a record of such impairment; or is regarded as having such an impairment. Impairments Physical or mental impairments can include: Hearing Mobility Visual impairments Chronic alcoholism Chronic mental illness AIDS AIDS-Related Complex Intellectual disabilities Major Life Activities As the definition is concerned, major life activities include: Walking Talking Hearing Seeing Breathing Learning Performing manual tasks Caring for oneself Exceptions Someone who is currently using illegal drugs is not protected under the Fair Housing Act. The act also exempts actions taken (such as eviction) against someone who has proven to be a danger to the health, safety, and property of others. A few legal cases have decided that a recovering drug addict or alcoholic is protected under the definition of disability. And, of course, as mentioned earlier in this course, someone with AIDS or HIV is protected under this law. Americans with Disabilities Act The Americans with Disabilities Act (ADA) prohibits discrimination against people with disabilities in employment, transportation, public accommodation, communications, and governmental activities. The ADA also establishes requirements for telecommunications relay services. While the federal Fair Housing Act establishes accessibility guidelines for residential spaces, the ADA establishes accessibility guidelines for public and commercial spaces. More about the ADA later in the level.

Failing to Make Reasonable Accommodations and Modifications for individuals with a disability

One way that a license holder could be in violation of the Fair Housing Act would be if they failed to make a reasonable accommodation for a person with a disability. it's not always obvious that a person needs special accommodations. So, when a request is made for an adjustment to be made to a property, the property manager should be very careful if they plan on denying it. Landlord Responsibility: Landlords must allow tenants to make reasonable modifications so that people with disabilities can enjoy their properties. Tenant Responsibility: Landlords may require tenants to pay for modifications and may require tenants to return the property to its unmodified condition at the end of the lease.

In Case of Emergency

There is a passage in the Texas Property Code that states a landlord may not prohibit or penalize a tenant for summoning police, fire, or EMS when there has been family violence.

Language Barriers

HUD rules that it would be improper for a property manager or landlord to restrict access to rental units because an individual does not speak English or if it is their second language. The criteria for a non-English speaker is the same as the criteria for anyone else. The Texas Association of REALTORS® has all their forms translated into Spanish, including the lease agreement. The tenant is still required to sign the English version, but at least the property manager has the Spanish forms to assist in helping the potential tenant understand what it is they are signing.

Exemption #4: Housing for Older Persons

Housing for older persons is also exempt from the familial status requirements of the Fair Housing Act if one or more of the following three conditions apply: The housing is occupied only by persons who are 62 years of age or older. 80% of the housing units have at least one occupant who is 55 years old or older. The housing is provided under any state or federal program that the Secretary of Housing and Urban Development determines is designed and operated to provide assistance to the elderly.

Transactions Not Covered by the Federal Fair Housing Act

The Fair Housing Act does not cover non-dwelling buildings. Therefore, the laws apply differently to commercial transactions, unless those transactions include property that would be properly defined as a dwelling. Of course, whether commercial or residential, real estate license holders should know that discrimination is never a good idea.

Exemption #1: to fair housing laws Single-Family Residences Sold by Owner

The sale or rental of a single-family residence is not bound by the Act, provided that: The property owner does not own or own any interest in more than three single-family residences at one time. In cases where the owner is not the most recent resident of the property being sold, that owner is only granted one exempt sale in any 24-month period. Non-Real Estate Agents For this exemption to apply, it is important that the person making the sale or arranging the rental not be in the business of selling or renting dwellings. So this exemption applies only to those individuals who are incidentally selling their own property, not to people who are professional real estate dealers or investors. Who's Considered a Seller/Renter? A person is to be considered in the business of selling or renting if: That person has within the preceding 12 months participated as principal in three or more transactions involving the sale or rental of any dwelling or any interest therein. That person has within the preceding 12 months participated as agent, other than in the sale of their own personal residence in providing sales or rental facilities or sales or rental services in two or more transactions involving the sale or rental of any dwelling or any interest therein. That person is the owner of any dwelling that is designed for or intended for occupancy by or occupied by five or more families.