Mobile Bay Real Estate Blog

A few weeks ago I went to preview a home for prospective buyers that I was working with. The homeowner asked me about my buyers, to see the area would be a good fit for them. “Are they married? Do they have kids? The neighbors have kids, so it’s a great family atmosphere.” It would be easy to say that yes, they’re married, and no, they don’t have children yet.

And that’s where REALTORS® can get entangled in Fair Housing Laws.

Title VIII of the Civil Rights Act of 1968 — called the Fair Housing Act — prohibits discrimination in housing based on race, color, religion and national origin. Since then, the law has been expanded to protect familial status, sex and the handicapped.

The homeowner’s question was innocent, but had she not liked my answer, she could discriminate against the homebuyers and decide not to sell to them.

Even in advertising, REALTORS need to be careful. On the MLS, I can’t say that a listing has, “a perfect kitchen for the wife, a spacious tool shed for the husband and a floor plan that fits a family of four perfectly.” Besides, taking twenty years off the feminist movement, it’s illegal to suggest a preferred number of children in a dwelling. However, I could advertise that the home had a “mother-in-law suite above the garage,” because that’s the text book term of the space above the garage.

There’s a lot of gray area in Fair Housing Laws, for example: Placing an ad in an urban newspaper about new development with the tagline, “Homes Just For You!” and a picture several African American families. Violating federal law? You bet. An easy mistake to make? Definitely.

There are exceptions to the laws, for instance, single family housing sold or rented without the use of a broker are exempt. Also, living units owned by religious organizations by be restricted to people of the same religion if membership in the organization is not restricted on the basis of race, color or national origin.

So what happens if a real estate licensee crosses line? It’s considered a criminal offense, so a real estate license will most likely be revoked. And considering it’s federal law, you’ll probably have a few rounds with Uncle Sam. And make sure to call me if you do, I want to reserve floor seats while you’re in court.

If you think you may have experienced housing discrimination or if you’d like more information, contact the U.S. Department of Housing and Urban Development (HUD).