Fair Housing Laws

In the creation of real estate advertising, which of the following is the BEST way to comply with fair housing laws?

Agents describe characteristics of properties—square footage, amenities—rather than the people who are logical candidates to live there.

What has been the real estate brokerage community's role throughout history in segregation, integration, and equal housing? A)All of these B)Champions who fought to break down the walls of separated neighborhoods C)Gatekeepers who helped keep neighborhoods separated by race D)Profiteers who used innuendo to frighten people into moving out neighborhoods

A)All of these

Are lower-income individuals allowed to purchase homes in upper-income neighborhoods?

Although financial background is a not a protected class, if they can afford the home, they are not prohibited from buying it.

Which of these symbols should NOT appear in display advertising about homes or apartments? A)A Star of David B)A Star and Crescent Moon C)All of these D)A Christian cross

C)All of these

Who is allowed to send paired testers to apartments to check for fair housing mistreatment? A)Agents of the federal government B)Agents of the State of Texas C)Independent nonprofit civic groups interested in enforcing the law D)All of these

D)All of these

If potential buyer is turned down for a loan, can the buyer get a full explanation for why?

If the borrower asks in writing within 60 days of rejection for a detailed report that includes the reasons for rejection, under the Equal Credit Opportunity Act, they are entitled to an explanation.

If police have been called to an apartment because of domestic violence against a single mother by a former husband, may the leasing agent evict the woman?

No, because evicting the woman could violate the familial status clause of fair housing law and could expose her to additional harm.

A Catholic-owned hospital wants to sell a piece of property that it owns but does not want to sell it for the development of family-oriented rental properties. Is that a fair housing violation?

No, because the hospital is owned by the Catholic church, it is exempt from fair housing law.

If a listing agent has a low offer from a minority buyer, is it proper to not present that offer for a reasonable period in the hope a better offer will come in?

No, offers should be presented promptly.

If a Hispanic applies for an apartment and meets all the landlord's publicized criteria, can that individual still be denied if the landlord would be more comfortable if the Hispanic had a better-paying job?

No, once an applicant has met the stated criteria of the landlord, that individual—regardless of race or national origin—comes under the protection of fair housing law.

If a property owner with fractional interest in a dozen rental units decides to sell his own home without a license holder, is the property owner exempt from fair housing law?

No, the property owner's fractional ownership in other properties would bring him under fair housing law.

What are "paired testers"?

Paired testers are actors, for instance a white couple and a black couple, who are given similar (but fake) identities and financial data, who attempt to rent units from the same landlord.

Which people are protected under the handicap classification of the Fair Housing Act?

Recovered and current mental patients

Under the federal Fair Housing Act, a landlord may do which of the following if a real estate agent is NOT involved in the transaction?

Refuse, based on sex, to rent a room in an owner-occupied dwelling

A borrower wants to determine a lending institution's participation in low- and moderate-income housing, community development, rehab projects, and in loan programs for small businesses and small farms. Which law requires a report that the borrower can request from the lender?

The answer is Community Reinvestment Act (CRA). The CRA requires a public annual statement containing a definition of the geographical boundaries of its community, an identification of the types of community reinvestment credit offered (such as residential housing loans, housing rehab loans, small-business loans, commercial loans, and consumer loans), and comments from the public about the institution's performance in meeting community needs.

If a borrower or a public official is concerned that a lending institution might be practicing redlining, which law requires a public reporting of economic and ethnic characteristics of neighborhoods served?

The answer is Home Mortgage Disclosure Act (HMDA). The HMDA was passed to stop the process of redlining, in which certain areas of a community were excluded from eligibility for home loans as though red lines were drawn around them. It requires mortgage lenders to collect and report data to assist in identifying possible discriminatory lending practices: the race or ethnicity, sex, and income of mortgage applicants, as well as the type of loan they want, where the property is located by census tract, and whether the application was approved, denied, or withdrawn. Each institution must make its mortgage loan disclosure statement available to the public.

Which court decision essentially undermined the Civil Rights Act of 1866?

The answer is Plessy v. Ferguson. The court decision created the doctrine of "separate but equal," essentially legalizing segregation in everything from schools to housing.

A complaint of discrimination brought under the Texas Fair Housing Act can be filed with the U.S. Department of Housing and Urban Development or with the

The answer is Texas Workforce Commission Civil Rights Division (TWCCRD). Complaints of discrimination brought under the Civil Rights Act of 1866 must be taken directly to a federal court. All other complaints are filed with the (TWCCRD) within one year of the alleged discriminatory act.

Complaints of discrimination brought under the Civil Rights Act of 1866 must be taken directly to

The answer is a federal court. Discrimination complaints brought under the Texas Fair Housing Act can be filed with the Texas Workforce Commission Civil Rights Division (TWCCRD) or with the U.S. Department of Housing and Urban Development (HUD) within one year of the alleged discriminatory act.

What is a "substantial equivalency" fair housing law?

The answer is a state or local law that is basically the same as the federal fair housing law. The state or local law would have the same protected classes and similar fines or other punishments.

If a woman who is a homeowner wants to take in a boarder, can she advertise the rental unit for a "single, white, older, Christian woman"? A)No, the advertisement clearly discriminates on the basis of age. B)All of these. C)No, the advertisement clearly discriminates on the basis of religion. D)No, the advertisement clearly discriminates on the basis of race.

The answer is all of these. Clearly, the ad and intention are discriminatory. While the homeowner may discriminate on any other basis except race, she cannot advertise such.

Under the "Mrs. Murphy" exemption, how many families can live in her house?

The answer is herself and three other families. She cannot, however, retain the exemption if she attempts to bar families on the basis of race nor if she uses a real estate agent to secure the renters.

If a homeseller instructs the listing agent not to show his property to a real estate investor (fearful it could be turned into rental property), must the listing agent comply?

The answer is investors are not a protected class, meaning sales agents are permitted to turn away investors. The seller's motivation is not something the sales agent is required to investigate, but if the seller is fearful his home would be turned into rental units, and those units might be rented minorities or other protected classes, the agent could be looking at a legal issue.

Which phrase, when used in advertising, would be considered unacceptable?

The answer is no children under six years of age. Advertisements, notices, or statements may not indicate a preference, limitation, or discrimination with regard to any fair-housing-protected classification. Descriptions of properties and symbols or terms relating to religious holidays are acceptable.

Is it a violation of fair housing law to refuse to show a sex offender a home in a neighborhood of single-family homes with children?

The answer is no, sex offenders are not protected by fair housing law. They may be discriminated against. There may, however, be other laws that allow them to live wherever they'd like, within certain restrictions.

HUD has determined that phrases such as "desirable neighborhood," "master bedroom," and "rare find" are

The answer is perfectly acceptable words to use in advertising. But words such as "whites only" would not be permitted.

After the widespread race riots in the United States after 1968, what did the federally appointed National Advisory Commission on Civil Disorders determine?

The answer is that America was moving toward two separate but unequal societies, one black and one white. It suggested the nation would tear itself apart if laws such as the Fair Housing Act were not aggressively enforced.

What concerns the government when properties such as new homes appear in glossy display advertising in newspapers, magazines, and brochures?

The answer is that the people displayed in the ads will be racially diverse. An ad with a preponderance of whites, or blacks, or Hispanics, or Asians could be an attempt to show that only certain people would enjoy living in the homes.

How is punishment for violating the racial aspects of fair housing law different from punishment for violations involving complaints about familial status?

The answer is there is no difference in punishment. Families are afforded the same civil rights and fair housing protections as all other protected classes, and violators may be penalized accordingly.

Texas real estate license holders may be fined and lose their license for advertising in a discriminatory way, but what about private homeowners who are for sale by owners?

The answer is yes, FSBO owners must comply with fair housing advertising law. The owner may be exempt from other portions of fair housing law by being a FSBO, but the Court's ruling in United States vs. Hunter found that FSBO owners may not advertise their intent to discriminate.

May Hispanics live in predominantly African American neighborhoods?

The answer is yes, Hispanics are an ethnic group and are a protected class. Housing is discriminatory if it bars any ethnic group from living where it prefers.

If an undocumented worker asks to be shown a property in a specific neighborhood, would it be discriminatory to refuse?

The answer is yes, it is illegal to discriminate against noncitizens. Fair housing law prohibits discrimination on the basis of national origin. It is not illegal for noncitizens to own property in the United States.

May a person with a neurological disease that affects muscle control live in an upscale white neighborhood?

The answer is yes, the person would likely fit under the disability provisions of fair housing law. The law states that persons with disabilities may not be stopped from living wherever they choose.

If a minority buyer specifically requests to be shown only properties in "white" neighborhoods, is it discriminatory for the sales agent to comply with the request?

The answer yes, it is discriminatory. Homebuyers are entitled look at properties in their price range that fit their personal requirements. They are allowed to discriminate. Brokers should explain to the buyer that the broker cannot discriminate on the basis of race. Brokers, however, should never replace the will of the buyer with their preferences.

Which situation is considered discriminatory under the federal Fair Housing Act?

The owner of a 20-unit apartment building refuses to rent apartments to women.

What specific issues might women confront when seeking a mortgage?

Widowed or divorced women may have no credit ratings in their own name.

Are all forms of media - including the internet - obligated to follow fair housing advertising law?

Yes, any media that carries real estate advertising is subject to the requirements of fair housing law.

Would placing a for-rent advertisement that states "kids OK" represent a violation of the Fair Housing Act?

Yes, because it could be viewed as expressing a preference for families over seniors and single individuals

An agent representing a black family seeks to show a for-sale-by-owner home in which the owner only has one property and has lived in it for more than five years. The FSBO owner turns away the agent because of the family's race. Is that a violation of fair housing law?

Yes, because the family is a protected class

May tenants who are members of a protected class file a fair housing complaint if they believe their landlord is delaying making needed repairs to their unit in an effort to drive them out of the building?

Yes, failing to make repairs in an effort to drive out a tenant is a violation of fair housing law.

Is it a violation of fair housing law to volunteer a warning to buyers who are part of a protected class that a neighborhood is "awfully conservative," or "redneck," or "full of traditional Christian families"?

Yes, the comments could be construed as steering under the Fair Housing Act.

The Equal Credit Opportunity Act (ECOA) prohibits lenders and others who grant or arrange credit to consumers from discriminating against credit applicants on the basis of race, color, religion,

national origin, sex, marital status, age, or dependence on public assistance.

The federal Fair Housing Act of 1968

prohibits discrimination in residential housing based on race, color, national origin, and religion.