Colorado License Law

Which of the following best describes 'blockbusting' as defined under fair housing laws?

ARefusing to make loans in certain neighborhoods based on racial composition
BInducing homeowners to sell by suggesting that protected-class members are moving into the neighborhood and will lower property values✓ Correct
CDirecting buyers to certain neighborhoods based on their race
DSetting discriminatory terms and conditions on a sale

Explanation

Blockbusting (also called panic selling) is the illegal practice of inducing homeowners to sell by suggesting that the entry of persons of a protected class into the neighborhood will cause property values to decline. It exploits racial or ethnic fears for profit.

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