Fair Housing
Which of the following properties is EXEMPT from the federal Fair Housing Act?
AA 20-unit apartment complex
BA single-family home sold by an owner using a real estate broker
CA single-family home sold by the owner without a broker, and the owner owns no more than three such homes✓ Correct
DA two-unit property where the landlord does not occupy one unit
Explanation
The federal Fair Housing Act exempts single-family homes sold or rented by the owner without a broker, provided the owner owns no more than three such homes and does not use discriminatory advertising.
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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.
Comparable Sales (Comps)Recently sold properties similar in size, condition, and location used by appraisers and agents to estimate a property's market value.
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.
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