Fair HousingIntermediateArizona Exam

The term 'protected class' in fair housing refers to:

AUpper-income buyers who are entitled to additional fair housing protections against predatory pricing and steering under HUD's 2022 amendments to the Fair Housing Act

BGroups of people who are protected from housing discrimination by federal or state law based on specific characteristicsCorrect

CReal estate licensees who are protected from arbitrary ADRE disciplinary actions under Arizona's administrative procedure act and constitutional due process guarantees

DFirst-time homebuyers who receive statutory consumer protection rights under the federal Truth in Lending Act and RESPA, separate from the protected class framework

Why Groups of people who are protected from housing discrimination by federal or state law based on specific characteristics Is Correct

Answer B: Groups of people who are protected from housing discrimination by federal or state law based on specific characteristics

Protected classes are groups of people who are legally protected from housing discrimination based on specific characteristics identified in federal (7 classes) and state/local laws (varies). Protected classes cannot be used as a basis for housing decisions.

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

Fair Housing Act

Federal law prohibiting discrimination in the sale, rental, or financing of housing based on race, color, national origin, religion, sex, disability, and familial status.

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.

People Also Study

Key Terms to Know

Fair Housing Act

Federal law prohibiting discrimination in the sale, rental, or financing of housing based on race, color, national origin, religion, sex, disability, and familial status.

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.

Pre-Approval

A lender's conditional commitment to loan a specific amount to a borrower, based on verified income, credit, and assets.

Transfer Tax

A tax imposed by state or local governments when real property ownership is transferred, typically based on the sale price.