Fair Housing
Redlining is a Fair Housing violation in which lenders or insurers:
ACharge higher fees to borrowers with low credit scores
BDeny services or charge higher rates based on the racial or ethnic composition of a neighborhood✓ Correct
CRefuse to insure properties in flood zones
DRequire private mortgage insurance on all loans under 20% down
Explanation
Redlining is the illegal practice of denying financial services (mortgages, insurance) or offering them on worse terms based on the racial or ethnic composition of a neighborhood, regardless of individual creditworthiness.
Related Arkansas Fair Housing Questions
- Under the Fair Housing Act, a person with a disability may request a 'reasonable accommodation.' This means the landlord must:
- A landlord refusing to rent to a wheelchair user unless the user agrees not to make any modifications to the unit is:
- Which advertising phrase in a rental listing would MOST likely violate the Fair Housing Act?
- An Arkansas property manager who refuses to rent to an applicant because they use a wheelchair is violating:
- Under the Fair Housing Act, a maximum occupancy limit of two persons per bedroom set consistently for all applicants is generally:
- Source of income discrimination refers to the illegal practice of:
- Under the Fair Housing Act, a 55+ senior housing community may legally refuse to rent to families with children if:
- Under the Fair Housing Act, a seller's agent who refuses to show a home to a buyer based on race is guilty of:
Practice More Arkansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Arkansas Quiz →