A Colorado real estate broker shows buyers only homes in certain neighborhoods based on their race. This practice is called:
Why Steering Is Correct
Answer C: Steering
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
Federal law prohibiting discrimination in the sale, rental, or financing of housing based on race, color, national origin, religion, sex, disability, and familial status.
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.
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.
People Also Study
Related Colorado Questions
- Under the Fair Housing Act, a buyer's broker who advises a minority client to look for homes only in certain neighborhoods based on race is violating the law through:Fair Housing
- A Colorado real estate broker 'steers' a Hispanic buyer toward only certain neighborhoods while discouraging them from other areas. This practice is called:Fair Housing
- Colorado's Fair Housing Act adds which protected class NOT found in the federal Fair Housing Act?Fair Housing
- A Colorado landlord adds a clause to all leases stating 'no children under 12 allowed.' This violates which protected class under the Fair Housing Act?Fair Housing
- A Colorado broker who consistently suggests that buyers of a certain ethnicity should look in specific neighborhoods is practicing:Agency
- A Colorado broker who manages their own personal rental properties:Colorado License Law
- A Colorado buyer's PITI payment is $2,400/month. Their gross monthly income is $7,500. What is their front-end (housing) DTI ratio?Finance
- Which federal law prohibits discriminatory lending practices based on protected class characteristics?Finance
Key Terms to Know
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.
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.
BlockbustingAn illegal practice of inducing homeowners to sell by claiming that the entry of minority groups will lower property values.
Fair Housing ActFederal law prohibiting discrimination in the sale, rental, or financing of housing based on race, color, national origin, religion, sex, disability, and familial status.
Study This Topic
Practice More Colorado Real Estate Questions
1,400+ questions covering all exam topics. Start free — no signup required.
Take the Free Colorado Quiz →