Fair Housing
A Michigan real estate agent who provides different information to different buyers about available properties based on race is engaging in:
AA legal market segmentation strategy
BSteering, a violation of fair housing laws✓ Correct
CPermissible marketing to target audiences
DAn acceptable practice if the agent discloses it
Explanation
Providing different information about available properties based on race (or any protected class) is steering, a serious fair housing violation that perpetuates segregation and is illegal under federal and Michigan law.
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Key Terms to Know
Steering
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.
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.
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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