Fair Housing
A Delaware property manager asks all rental applicants about their national origin on the application form. This practice is:
ALegal as long as the information is used only for statistical purposes
BIllegal as it may be used to discriminate in violation of the Fair Housing Act✓ Correct
CLegal for commercial rentals but illegal for residential rentals
DLegal if the manager is an owner-occupant
Explanation
Asking about national origin on a rental application violates the Fair Housing Act because such information could be used to discriminate. Applications should only ask for information relevant to tenancy qualifications.
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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.
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.
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