Fair Housing
A landlord's consistent policy of requiring all applicants to pass a background check and income verification, uniformly applied to all applicants, is:
AIllegal because it may screen out protected classes
BA lawful, non-discriminatory tenant screening practice✓ Correct
COnly lawful in owner-occupied buildings
DRequires HUD approval before implementation
Explanation
Consistent, uniform application of tenant screening criteria (background check, income verification) to all applicants is a lawful, non-discriminatory business practice, provided the criteria are applied regardless of protected class status.
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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.
RedliningAn illegal practice where lenders or insurers deny services or charge higher rates in certain neighborhoods based on the racial or ethnic composition of those areas.
Short SaleA sale of real property where the sale proceeds are less than the outstanding mortgage balance, requiring lender approval.
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