Fair Housing
A lender denying a mortgage application cites only that the property is located in a historically minority neighborhood with 'high risk.' This is most consistent with:
ASound underwriting practice
BRedlining — geographic-based discrimination that may violate the Fair Housing Act and ECOA✓ Correct
CLegitimate loan-to-value analysis
DStandard environmental risk assessment
Explanation
Denying loans based on the racial or ethnic composition of a neighborhood rather than objective financial criteria is redlining. It violates both the Fair Housing Act and the Equal Credit Opportunity Act.
Related Arkansas Fair Housing Questions
- A reasonable modification under the Fair Housing Act is:
- Under the Fair Housing Act, a person with a disability may request a 'reasonable accommodation.' This means the landlord must:
- A landlord who imposes more stringent credit requirements on applicants of a specific national origin compared to others is violating:
- A 'reasonable accommodation' under fair housing law refers to:
- Source of income discrimination refers to the illegal practice of:
- Steering in real estate refers to:
- Disparate impact under fair housing law refers to:
- An Arkansas property manager who refuses to rent to an applicant because they use a wheelchair is violating:
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