Chapter 4: Fair Housing REVIEW QUESTIONS Flashcards
After John Wilson lists a summer home with salesperson Sharon Sikes, he informs her of his general dislike of members of a particular ethnic minority group. Sikes later shows the home to two prospective buyers, one of whom is a member of this group, and both make an offer. When Wilson contacts her again, she does not present him with the lower offer, which was made by the member of the minority. Sikes has violated
both the New Jersey Real Estate License Law and the law of agency
Which of the following acts is permitted under the Federal Fair Housing Act?
Refusing to sell a home to an individual because he or she has a poor credit history
The Civil Rights Act of 1866 is unique because the act
covers only the areas of race and color, provides no exceptions, & requires a federal court suit by the complainant.
“I hear they’re moving in; there goes the neighborhood. Better list with me today!” is an example of
blockbusting.
The act of channeling home seekers to a particular area, either to maintain or to change the character of a neighborhood, is
steering
Which would NOT be permitted under the Federal Fair Housing Act?
The owner of a 20-unit apartment building rents to women only.
Under federal law, families with children may be refused rental or purchase in buildings where occupancy is reserved exclusively for those aged at least
62
Guiding prospective buyers to a particular area because the agent feels they belong there may lead to
steering.
Refusal to rent to someone because they receive public assistance violates
New Jersey statutes
A policy of never renting to persons with prison records violates
no law.
Refusing an apartment to a couple because they are unmarried violates
the Law Against Discrimination
A mortgage company makes it a practice not to lend money to potential homeowners attempting to purchase property located in predominantly black neighborhoods. This practice is known as
redlining
A court found a landlord guilty of illegal discrimination and ordered him to rent his next available apartment to the person who was unfairly hurt. The court order is an example of
an injunction.
The seller who requests prohibited discrimination in the showing of a home should be told
“As your agent I have a duty to warn you that such discrimination could land you in real trouble.”
“I am not allowed to obey such instructions.”
“If you persist, I’ll have to refuse to list your property.”
A good precaution against even unintentional discrimination is
detailed record keeping on each customer.
use of a standard financial interview form.
routine follow-up phone calls.
