Fair Housing

A NC property management company that uses a computer algorithm to screen rental applicants must ensure the algorithm:

AApplies maximum rent-to-income ratios only
BDoes not produce disparate impact on protected classes without a legitimate, non-discriminatory justification✓ Correct
CIs registered with the NCREC
DIs approved by HUD before use

Explanation

Algorithmic screening tools that disproportionately screen out protected class members may violate the FHA under disparate impact theory, even if the algorithm is facially neutral.

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