Fair HousingIntermediateColorado Exam

A Colorado broker found guilty of a Fair Housing violation may face:

AOnly an informal warning from HUD
BCivil fines, compensatory damages to the victim, and potential criminal penalties for willful violationsCorrect
CLicense revocation by the Real Estate Commission only
DNo consequences since fair housing is a civil matter only, which most practitioners would generally accept

Why Civil fines, compensatory damages to the victim, and potential criminal penalties for willful violations Is Correct

Answer B: Civil fines, compensatory damages to the victim, and potential criminal penalties for willful violations

Fair Housing Act violators may face civil fines (penalties are periodically adjusted for inflation; the statutory base is $16,000 for a first offense under HUD administrative action, with higher amounts in federal court), compensatory and punitive damages, attorney's fees, and injunctive relief. Willful violations can result in criminal penalties.

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

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