Fair HousingIntermediateArizona Exam

An Arizona real estate agent who sends automated listing notifications only to certain zip codes that exclude historically minority neighborhoods may be engaging in:

AEfficient geographic marketing targeted to buyers' demonstrated behavioral preferences
BAlgorithmic steering—a form of fair housing violation through technology-based disparate impactCorrect
CLegal narrowcasting, authorized under social media platforms' own advertising terms of service
DPermissible use of aggregated marketing data absent discriminatory intent

Why Algorithmic steering—a form of fair housing violation through technology-based disparate impact Is Correct

Answer B: Algorithmic steering—a form of fair housing violation through technology-based disparate impact

Algorithmic or technology-based steering occurs when real estate tools, algorithms, or automated systems disproportionately limit housing options shown to consumers based on protected class geography. HUD and CFPB have increased scrutiny of such practices.

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.

Key Fair Housing Terms in This Question

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