Fair Housing
A real estate agent who tells a client from a minority group that there are 'no good listings' in a certain neighborhood when listings do exist is engaging in:
AAppropriate guidance based on professional knowledge of the market
BIllegal steering that violates the Fair Housing Act by denying the client equal access to housing opportunities based on protected class characteristics✓ Correct
CA normal business practice of helping clients focus their search
DIllegal blockbusting rather than steering
Explanation
Steering includes withholding information about available properties in certain areas based on protected class characteristics. Telling a minority buyer that no listings exist in an area when they do exist (in order to keep them away from that area) is a clear steering violation under the Fair Housing Act.
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Key Terms to Know
Steering
An illegal practice where a real estate agent directs buyers toward or away from certain neighborhoods based on the buyer's race, religion, national origin, or other protected characteristics.
BlockbustingAn illegal practice of inducing homeowners to sell by claiming that the entry of minority groups will lower property values.
Fair Housing ActFederal law prohibiting discrimination in the sale, rental, or financing of housing based on race, color, national origin, religion, sex, disability, and familial status.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
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