Untitled Quiz

Questions and Answers

In Colonial times (before the American Revolution), equal opportunity was a concept generally applied only to:

Any citizen who owned property

White males who owned property (correct)

White males of any religion

White, Anglo-Saxon, Protestant (WASP) males

__________ is the Supreme Court case which held that discrimination in housing everywhere within the United States was prohibited, even within the private sector.

Equal Opportunity in Housing

Brown v. Board of Housing

Jones v. Alfred H. Mayer Co (correct)

Housing and Community Development Act

What kind of discrimination did Title VIII of the Fair Housing Act of 1968 protect against?

Disabilities and national origin

Gender

Source of income (public assistance)

Race, color, religion, and national origin (correct)

Plessy v. Ferguson established what became known as

The Separate but Equal Doctrine Signup and view all the answers

Which act prohibits discrimination in housing based on race, color, religion, or national origin?

Fair Housing Act of 1968 Signup and view all the answers

The Housing and Community Development Act of 1974 added what additional protected class?

Sex Signup and view all the answers

Which act prohibited discrimination in mortgage lending?

Equal Credit Opportunity Act of 1974 Signup and view all the answers

Which of the following is NOT one of the protected classes of persons under federal fair housing laws?

Marital status Signup and view all the answers

Which act was the first to prohibit discrimination against persons with disabilities in programs that receive federal financial assistance?

Section 504 of the Rehabilitation Act of 1973 Signup and view all the answers

Which two protected classes did the Fair Housing Amendments of 1988 add to federal fair housing laws?

Disability and familial status Signup and view all the answers

The purpose of Section 504 of the Rehabilitation Act of 1973 was to protect against discrimination of whom?

Persons with disabilities Signup and view all the answers

Which law was the first to prohibit discrimination based on race?

Civil Rights Act of 1866 Signup and view all the answers

Which of the following is a protected class of person under federal fair housing laws?

Religion Signup and view all the answers

Which is NOT covered under the ADA?

Private housing Signup and view all the answers

Federal fair housing laws are administered by __________.

HUD Signup and view all the answers

The Equal Credit Opportunity Act applies to:

All credit situations. Signup and view all the answers

Which of these statements is true about ECOA?

Lenders cannot ask if an applicant is divorced. Signup and view all the answers

Under ECOA, a lender who has denied credit must notify the applicant of the denial within 30 days. This notification must be:

In writing. Signup and view all the answers

In advertising, which of the following is an acceptable phrase?

No smoking Signup and view all the answers

Familial status was added to the list of protected classes by which set of laws?

Fair Housing Amendments Act of 1988 Signup and view all the answers

Which definition best describes steering?

Discouraging buyers from considering certain neighborhoods Signup and view all the answers

Which of the following classes is NOT protected under the Equal Credit Opportunity Act (ECOA)?

Sexual orientation Signup and view all the answers

Which of the following is a protected class under federal fair housing laws?

Familial status Signup and view all the answers

Discrimination based on race is permitted by which of the following?

False Signup and view all the answers

'Whites only' is allowed in an advertisement for the sale of government housing when the property is not represented by a licensee.

False Signup and view all the answers

A 'reasonable' occupancy standard is usually defined as:

Two persons per room plus one additional person. Signup and view all the answers

Fair housing laws enacted by a state:

Can be more restrictive than the federal fair housing laws. Signup and view all the answers

Which of the following does NOT have to comply with federal fair housing laws?

A four-unit building where the owner lives in one of the four units Signup and view all the answers

The fair housing poster does NOT have to be displayed in:

The personal home of a real estate licensee. Signup and view all the answers

Which of the following situations would NOT be a violation of fair housing law?

Denying a mortgage loan to a single, Hispanic mother of three children because she has a poor credit rating. Signup and view all the answers

Which of the following advertisements would violate fair housing laws?

'Cute studio condo in great building. Large windows overlooking park. Perfect for singles or couples. Rentals ok. Covered parking. 5 minute walk to grocery store, coffee shop, and library. Bus stops in front of building.' Signup and view all the answers

The Civil Rights Act of 1866 established which protected class?

Race Signup and view all the answers

According to ECOA, when determining the credit worthiness of an applicant, which of these statements can a lender ask?

Lenders can ask if an applicant has a child support judgment against them. Signup and view all the answers

Which situation is exempt from federal fair housing laws?

A private hunting club that restricts the rental of its mountain cabins to only members of the club. Signup and view all the answers

Which of the following meet the criteria to be protected from discrimination based on a disability or handicap?

Both I and II Signup and view all the answers

Which of the following persons does NOT qualify as 'disabled'?

A compulsive gambler Signup and view all the answers

Which is not protected by Fair Housing Law in public sector housing?

A person with a felony conviction for rape Signup and view all the answers

Under the federal definition, which of the following has a disability?

A person with an impairment that substantially limits at least one major life activity. Signup and view all the answers

By the federal definition, which person is considered disabled?

A person with brain damage from previous drug abuse Signup and view all the answers

Which of the following advertisements violates the fair housing law?

Spacious home on a 0.52-acre corner lot on a dead-end street in a great estate neighborhood. Signup and view all the answers

Which practice is permitted?

Showing homes in specific neighborhoods to an Asian buyer who has expressed a preference to view homes in neighborhoods with other Asians Signup and view all the answers

Which of these situations is considered discriminatory?

A licensee shows an African American couple only homes in predominantly African American populated neighborhoods without being asked. Signup and view all the answers

A buyer agent is reviewing properties with a pre-approved Caucasian couple. What discriminatory practice did they engage in if the agent states, 'I don't think you want to live in Northbrook. You would definitely be in the minority there.'?

Steering Signup and view all the answers

Which of the following is an example of steering?

Not showing properties to a buyer in certain areas of a city based upon the licensee's assumed perceptions of the buyer's racial preferences. Signup and view all the answers

A mortgage lender denies an application for a mortgage based on racial composition. What discriminatory practice is this an example of?

Redlining Signup and view all the answers

Based on what you know about fair housing laws, which term does not belong with the others?

Price fixing Signup and view all the answers

Which of these is NOT one of VAMA's objectives?

Require real estate businesses to hire minority employees Signup and view all the answers

During a listing presentation, what is it called when a licensee warns a seller that their neighborhood will soon be flooded with people of Asian descent, potentially reducing property values?

Blockbusting Signup and view all the answers

What occurs when a previously white or integrated community changes into a predominantly minority community?

Racial tipping Signup and view all the answers

Which situation is legal?

Showing homes only in neighborhoods with a large Russian population when asked to do so by a Russian client. Signup and view all the answers

Display of the HUD Fair Housing Poster by a real estate brokerage is:

Required Signup and view all the answers

Redlining is best defined as:

Refusing to make mortgage loans or issue insurance policies based upon racial, ethnic, religious, or national-origin composition of a neighborhood. Signup and view all the answers

Which best describes blockbusting?

Encouraging property owners to either sell or rent their property by claiming that the character of the neighborhood is changing due to the entry of a protected class into the neighborhood. Signup and view all the answers

What provision included in ECOA were the main reasons for the increase in housing demand resulting in an increase in the price of homes?

Offering war veterans affordable mortgages, the prohibition to discriminate against women, and the requirement to qualify women borrowers on the actual income received. Signup and view all the answers

Which of these is not a protected class covered by ECOA?

Veteran status Signup and view all the answers

Which of these is not a protected class covered by ECOA?

Military status Signup and view all the answers

Which of these is NOT protected by ECOA?

Political affiliation Signup and view all the answers

ECOA adds which additional protected classes to federal fair housing laws?

Age, source of income, and marital status. Signup and view all the answers

When a lender rejects a mortgage application based upon poor credit, what is the lender required to do?

Lenders have no duty to justify rejecting an applicant. Signup and view all the answers

Study Notes

History of Fair Housing Laws

Equal opportunity in Colonial times primarily applied to white males who owned property.
The Supreme Court case Jones v. Alfred H. Mayer Co. prohibited housing discrimination throughout the U.S., including the private sector.
Title VIII of the Fair Housing Act of 1968 prohibits discrimination based on race, color, religion, and national origin.

Significant Legislation

Plessy v. Ferguson established the Separate but Equal Doctrine, which justified racial segregation.
The Fair Housing Act of 1968 is a key law protecting against housing discrimination based on race, color, religion, and national origin.
The Housing and Community Development Act of 1974 added sex as a protected class.
Equal Credit Opportunity Act of 1974 prohibits discrimination in mortgage lending based on various factors including race and sex.

Protected Classes

Federal fair housing laws protect classes based on race, color, national origin, sex, familial status, religion, and disability.
Marital status is not protected under federal fair housing laws, though it may be protected by state laws.
The Fair Housing Amendments of 1988 expanded protections to include disability and familial status (presence of children or pregnant women).

Court Decisions and Impacts

Brown v. Board of Education ruled that separate educational facilities are inherently unequal, mandating integration.
Section 504 of the Rehabilitation Act of 1973 prohibits discrimination against individuals with disabilities in federally funded programs.
The Civil Rights Act of 1866 was the first legislation aimed at preventing racial discrimination in housing.

Fair Housing Compliance and Exceptions

Community can qualify as a retirement community if at least 80% of the units are occupied by individuals aged 55 and older.
The Americans with Disabilities Act (ADA) does not cover residential housing but addresses discrimination in employment and public accommodations.
Federal fair housing laws administered by HUD prohibit all forms of racial discrimination, regardless of the seller's status.

Exceptions and Exemptions

Certain situations, like those involving private clubs, are exempt from federal fair housing laws.
Exemptions to fair housing provisions exist for small rental properties when the owner lives on-site.

Reasonable Accommodations

Disabled tenants can make reasonable modifications to their residences at their expense.
Definitions of "reasonable occupancy" typically allow two persons per bedroom plus one additional occupant.

Understanding Fair Housing Protections

Fair housing laws set boundaries on discrimination practices, ensuring opportunities across multiple demographics including familial status and disability.
States can enact stricter laws than federal standards, emphasizing that local laws may take precedence.### Disability Definitions and Examples
Heart disease, cancer, diabetes, and mental illness are recognized as disabilities under various federal acts.
Disability is defined as a physical or mental impairment that substantially limits major life activities.
Specific examples include visual impairments, orthopedic issues, and environmental illnesses.

Non-Qualified Disabilities

Compulsive gambling is not classified as a disability under the Americans with Disabilities Act (ADA).
Behaviors like pyromania and kleptomania are also excluded from disability classification.

Fair Housing Law Protections

Discrimination in housing is prohibited for various classes, including those with AIDS but not for individuals with felony convictions for specific crimes like rape.
Fair housing laws aim to protect against discrimination based on race, color, religion, gender, national origin, disability, and familial status.

Steering and Discrimination Practices

Steering involves discouraging buyers from considering certain neighborhoods based on racial or ethnic assumptions.
Blockbusting is the act of inducing property owners to sell by claiming that the neighborhood's character is changing due to the presence of a protected class.
Racial tipping occurs when a community transitions to a predominantly minority population.

Equal Credit Opportunity Act (ECOA)

ECOA prohibits discrimination based on credit worthiness, not marital status or sex.
Protected classes under ECOA include age, marital status, and receipt of public assistance.
Lenders must provide written reasons for credit denial within 30 days of application.

Advertising and Fair Housing Law

Acceptable advertising phrases must avoid implying preference for specific groups.
Displaying the HUD Fair Housing Poster is a requirement for real estate brokerages to indicate commitment to fair housing.

Legal Categorization in Housing and Credit Practices

Racial discrimination in mortgage lending and housing practices, such as redlining, is explicitly prohibited.
Price fixing does not fall under fair housing practices, as it pertains more to antitrust issues.

Familial Status Provisions

Familial status protection was added by the Fair Housing Amendments Act of 1988, safeguarding families with children from discrimination.

Summary of Key Discriminatory Practices

Practices like charging higher rates based on race or showing homes only in certain neighborhoods based on client preferences can be legal if they align with the client's requests rather than discriminatory assumptions.
Disclosure of neighborhood demographics should come from the client’s inquiries, not the agent's unsolicited advice.### Discrimination Under ECOA and Fair Housing Laws
The Equal Credit Opportunity Act (ECOA) prohibits discrimination in credit transactions based on various factors, including race, color, national origin, religion, sex, marital status, familial status, and public assistance income.
Sexual orientation is not explicitly listed under ECOA as a protected class.

Familial Status Protection

Familial status, defined as the presence of children under 18 or pregnant women, was added to the Fair Housing Act by the Fair Housing Amendments of 1988.
This amendment prohibits discrimination in housing based on familial status.

Race Discrimination Regulations

The Supreme Court ruling in Jones v. Mayer confirms that discrimination based on race is strictly prohibited without any exceptions.
No exemptions apply for race-related discrimination in housing transactions.

Advertising Restrictions

The phrase "Whites only" is universally prohibited in housing advertisements, reinforcing that no discrimination against protected classes, especially race, is permitted.
Fair housing laws disallow discriminatory advertising unless specific exemptions are applicable, which do not include race.

Occupancy Standards

The Fair Housing Amendments define a reasonable occupancy standard as two persons per bedroom plus one additional occupant.
This means that a two-bedroom apartment could reasonably house up to five individuals.

State vs. Federal Fair Housing Laws

States can establish fair housing laws that are more stringent than federal laws, which only set minimum standards for nondiscrimination.
State laws can enhance protections beyond what is mandated federally.

Exemptions from Federal Fair Housing Laws

Certain small rental properties, such as a four-unit building where the owner resides in one unit, may be exempt from federal fair housing regulations.
Public accommodations, like commercial vacation lodges, must adhere to fair housing laws regardless of ownership structure.

Displaying Fair Housing Posters

Fair housing posters are required to be displayed in rental offices, model homes, and real estate brokerage offices, but not in the personal homes of real estate licensees.

Fair Housing Law Violations

Denying a mortgage based solely on poor credit rating does not violate fair housing laws, as it does not consider racial or other discriminatory factors.
Violating fair housing laws can occur through ads that suggest preference for non-familial applicants.

Civil Rights Act of 1866

The Civil Rights Act of 1866 specifically established race as a protected class against discrimination.
The subsequent Civil Rights Act of 1968 expanded these protections to include color, religion, and national origin in housing contexts.

Lender Questions on Creditworthiness

Under ECOA, lenders may inquire about an applicant's child support judgments but are prohibited from discriminating against applicants based on other personal factors such as pregnancy or marital status.

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