(FHA) Fair Housing Act

Question 1

Fair Housing Act (FHA)

Answer 1

Fair Housing Act - Prohibits discrimination against protected classes in the “sale or lease” or residential property

1. The Fair Housing act has (7) Protected classes: sex, race, religion, color, national origin, (disability & familial status (Any with children)

• The first five (5) are also protected by the ECOA
• The last two (2) - disability & familial status - are “ONLY” protected by Fair Housing

**A Borrower has “1 Year” to sue under the Fair Housing Act

Question 2

Blockbusting

Answer 2

Trying to induce owners to “sell” their homes by suggesting that the ethnic or racial composition of the neighborhood is changing, with the implication that property values will decline.

Question 3

Steering

Answer 3

Channeling prospective real estate “buyers” or tenants to particular neighborhoods based on their race, religion, or ethnic background.

Question 4

Redlining

Answer 4

Refusal to make “loans” on property located in a particular neighborhood for discriminatory reasons.