Fair HousingIntermediateAlaska Exam

In Alaska, an online real estate listing platform that uses algorithms to show different property listings to users based on their perceived race or national origin would be:

ALegal since it is an automated process, not human discrimination
BPotentially violating the Fair Housing Act — algorithmic discrimination is subject to fair housing lawCorrect
COnly subject to FTC oversight, not fair housing law
DLegal if the algorithm is not intentionally designed to discriminate, as is typical in most transactions

Why Potentially violating the Fair Housing Act — algorithmic discrimination is subject to fair housing law Is Correct

Answer B: Potentially violating the Fair Housing Act — algorithmic discrimination is subject to fair housing law

HUD has clarified that algorithmic discrimination in housing is subject to the Fair Housing Act. Using technology to show different listings, pricing, or terms based on protected class characteristics — even if the discrimination is unintentional — may violate fair housing law under disparate impact theory.

Exam Tip: Fair Housing

Fair Housing questions test both federal (Fair Housing Act of 1968) and state-level protected classes. The federal protected classes are race, color, religion, national origin, sex, familial status, and disability. Many states add additional protections.

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