Fair Housing

Blockbusting is a Fair Housing violation where:

AA developer builds too many units in one block
BAn agent induces panic selling by suggesting that minority groups are moving into an area✓ Correct
CA lender blocks a loan application based on income
DA landlord blocks tenants from subletting

Explanation

Blockbusting (also called panic peddling) is the illegal practice of inducing homeowners to sell by suggesting that people of a particular race, religion, or other protected class are moving into the area—implying property values will decline as a result.

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