Whether you own one investment property or manage 200 units, it’s important for you and your team to understand and abide by applicable federal, state and local fair housing laws; promote an equal housing opportunity for tenants; and run a compliant rental business.
The Fair Housing Act is the federal law that grants fair housing protections and rights to renters and buyers. The act was originally adopted as part of the Civil Rights Act of 1968, and it was subsequently broadened in 1988 to prohibit discrimination because of a person’s protected class when renting or buying a home, getting a mortgage, seeking housing assistance or engaging in other housing-related activities.
What does equal housing opportunity mean?
Equal housing opportunity is the notion that all persons should be granted the same chances when it comes to choosing housing. This law is administered and enforced by the Office of Fair Housing and Equal Opportunity (FHEO), an office within the U.S. Department of Housing and Urban Development (HUD). HUD was given enforcement responsibility by the Fair Housing Act of 1968 .*
What is rental discrimination?
Rental discrimination is when a landlord or property manager treats an applicant differently based on the applicant’s inclusion in a protected class. Courts recognize that discrimination may result from both intentional and unintentional conduct.
Intentional discrimination (called “disparate treatment” discrimination) occurs when someone treats a renter adversely because of their status in a protected class.
Unintentional discrimination (called “disparate impact” discrimination) occurs when an action or policy triggers adversely affects members of a protected class, even if there was no intention to discriminate. The U.S. Supreme Court has recently confirmed that the Fair Housing Act recognizes disparate impact liability. As a result https://hookupdate.net/cs/quickflirt-recenze/, landlords and property managers should be aware that they may be liable for policies and practices that, even unintentionally, have a harsher impact on people in protected classes. Such disparate impact liability is often recognized under state law as well, and landlords and property managers should research state and local anti-discrimination laws to ensure their compliance.
Examples of rental discrimination
An example of intentional discrimination is posting a sign that says “No [insert protected class] need apply.” Such overt discrimination is relatively rare today, but other practices – such as imposing restrictions on families with children – still occur.
An example of unintentional discrimination may be when a landlord or property manager applies a “one strike” tenant screening rule for arrests. HUD guidance explains that because people of color are disproportionately arrested, and being arrested may have no relationship with your ability to be a good tenant, then people of color may be disproportionately disqualified from housing by tenant screening policies despite those policies not serving any legitimate business justification.
What classes are protected from rental discrimination?
In fair housing terms, discrimination means treating someone differently because they are part of a protected class. Beyond the federal fair housing laws, state and local laws may provide further protection to renters in additional protected classes, some of which are summarized below.
- Race
- Color
- Religion
- Sex
- National origin
- Familial status
- Physical or mental disability
- Citizenship
- Age
Additional fair housing guidelines to consider
Criminal history: In spring 2016, HUD provided guidance about the potential discriminatory impact of screening tenants on the basis of criminal history .
Limited English proficiency: While English proficiency is not a separate protected class under the Fair Housing Act, English proficiency is considered a subset of national origin, so refusing to rent to someone because they are not proficient in English may constitute national origin discrimination.