Fair Housing
A seller instructs their agent not to bring offers from a specific ethnic group. The agent should:
AFollow the client's instructions, as the client is the boss
BRefuse to follow the instructions and potentially terminate the listing✓ Correct
CAccept offers but not submit them to the seller
DReport the seller to AREC but continue the listing
Explanation
A seller's discriminatory instruction violates the Fair Housing Act. An agent must refuse to follow such instructions and may terminate the listing.
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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.
LienA financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
SteeringAn 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.
State-Specific Concepts
AREC Regulation
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