Federal Fair Housing, Truth in Lending, the National Do Not Call Registry, and Environmental Disclosures

Question 1

American with Disabilities Act (ADA)

Answer 1

The Americans with Disabilities Act addresses the rights of disabled Americans in employment and public accommodations.

Question 2

asbestos

Answer 2

A mineral used to insulate pipes that was banned after 1978. If asbestos deteriorates and becomes airborne or friable, it can cause respiratory disease. Friable is the term used to describe aging asbestos that break down into tiny particles. Asbestos removal is costly, because the process requires licensed technicians, specially sealed environments, and disposal at a licensed facility.

Question 3

blockbusting

Answer 3

The illegal practice of inducing homeowners to list their homes by making prejudiced representations regarding the entry of minorities into a neighborhood.

Question 4

brownfields

Answer 4

Abandoned commercial or industrial sites that have contaminated soil. With current brownfields legislation, the federal government is providing funds to clean up these sites and put them on the tax roll.

Question 5

Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA)

Answer 5

A federal law enacted in 1980 and reauthorized by the Superfund Amendment and Reauthorization Act of 1986 (SARA). This act established a superfund to clean up abandoned hazardous waste sites and established a means for reimbursement by the responsible parties. Liability was imposed when the government incurred response costs associated with a clean-up.

Question 6

encapsulation

Answer 6

The sealing off of disintegrating asbestos. For example, a layer of heavy latex paint may be use to encapsulate an asbestos-covered pipe.

Question 7

Equal Credit Opportunity Act (ECOA)

Answer 7

Federal legislation that was passes in 1974 and made it illegal for lenders to discriminate on the basis of a person’s sex, marital status, or age in granting of credit. In addition, the ECOA prohibited lending discrimination based on a person’s race, color, religion, or national origin. Also, the ECOA prevents lenders from discriminating against borrowers of public assistance programs, such as Social Security and food stamps. Therefore, credit applications are considered solely on the basis of net worth, income, job stability, and credit score.

Question 8

Equal Housing Opportunity poster

Answer 8

It is required to be posted in a conspicuous place at all real estate, appraisals, and lending institutions.

Question 9

lead

Answer 9

Prior to 1978, lead was an element used as pigment and drying agent in alkyd oil-based paint. Elevated levels of lead in the body can lead to lead poisoning and can cause mental retardation, kidney damage, damage to the body’s red blood cells, and damage to the body’s nervous system. Children under the age of six are most susceptible to lead poisoning when exposed to lead dust. The Lead-Based Paint Hazard Reduction Act of 1992 requires buyers to be given a booklet making them aware of the probable presence of lead in homes built prior to 1978. In addition, the buyer has up to 10 days to conduct a risk assessment or an inspection for the presence of lead-based paint hazard.

Question 10

Leaking Underground Storage Tank (LUST) Trust Fund

Answer 10

In 1976, the Resource Conservation and Recovery Act (RCRA) was created to regulate the generation, transportation, storage, treatment, and disposal of hazardous wastes at active facilities, such as landfills and businesses that stored petroleum-based product in underground storage tanks. RCRA was amended in 1984 to regulate the use of underground storage tanks (UST), including design, construction, and operation, of them from installation to closure. It also regulated the cleanup of leaks and spill, imposed record-keeping and reporting guidelines, and regulated financial responsibility for liability insurance on both owners and operators. Today, the EPA oversees the federal LUST Trust Fund. The primary purpose of this federal legislation is to protect America’s groundwater.

Question 11

mold

Answer 11

Organisms that grow on organic substances. To grow, mold needs moisture, oxygen, and an organic food source. Some types of mold are known to trigger allergic reactions and asthmatic attacks. Litigation against building contractors and insurance companies have excluded mold from coverage. While agents have no duty to discover its presence, agents do have the duty to disclose any and all known health hazards.

Question 12

National Pollutant Discharge Elimination System (NPDES)

Answer 12

Part of the EPA’s Clean Water Act, which requires the acquisition of a permit before developers can clear tracts of land for development. It is designed to regulate storm water pollution from construction sites.

Question 13

radon

Answer 13

A colorless, odorless, radioactive gas produced by the decay of radioactive minerals in the ground. It is a known carcinogen and a known case of lung cancer. Presence in a home or building is measured in picocuries per liter of air (pCi/L). The EPA suggests that action be taken to mitigate its presence should the level reach 4 pCi/L.

Question 14

redlining

Answer 14

The illegal practice by a lender denying loans or restricting the number of loans made in a certain area of town.

Question 15

Safe Drinking Water Act (SDWA)

Answer 15

In 1974, the EPA set national health-based standards for drinking water to protect public health by regulating the nation’s public drinking water supply. Listing forms and many property disclosure forms require identification of a property’s water source.

Question 16

Title VIII

Answer 16

Another name for the Fair Housing Act of 1978. It prohibits discrimination in housing based on one’s race, color, religion, sex, handicap, familial status, or national origin.

Question 17

Superfund Amendments and Reauthorization Act (SARA)

Answer 17

Established clean-up standards for contaminated real estate sites, increased federal funding, and clarified lender liability and innocent landowner immunity for those that did some due diligence.

Question 18

Truth in Lending Act (TILA)

Answer 18

Also called Regulation Z, it ensures that borrowers in need of consumer credit are given meaningful information regarding the cost of credit, including the annual percentage rate (APR).

Question 19

wetlands

Answer 19

An area of habitat land affected by groundwater, such as a marsh. State and federal agencies, such as the U.S. Corps of Engineers, regulate the development of wetlands.

Question 20

steering

Answer 20

is discouraging the sale or rental of a dwelling because of the presence or absence of minority neighbors, whether the intention is actual, alleged, or implied. Referring minority prospects to minority salepersons is treating people differently because of their minority status, and such action is unlawful even though there may be a valid business purpose.