5 Things You Need to Know About the Fair Housing Act

Equal Housing

5 Things You Need to Know About the Fair Housing Act

The fair housing act prohibits discrimination by landlords, real estate companies and other entities to make housing unavailable to people because of race, religion, sex, national origin, familial status, and disability. Some states also add sexual orientation to that list as well.

The Fair Housing Act was passed during the civil rights movement and was a major step forward in creating and protecting equality for all Americans. It is important as property managers and real estate companies that we ensure every prospective and current tenant or buyer receive equal treatment. Here are 4 Do’s and Don’ts to keep your business aligned with the FHA.

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Do Have Policies & Systems

Create policies and systems that are used across the board to screen every tenant. Have the same qualifying and disqualifying criteria for everyone. When you use the same process and criteria across the board it will be easy to make sure you are treating everyone equal. If possible, have someone in your organization who has not met the applicant do the screening and investigation. It is less likely to inadvertently discriminate against someone if you have never even seen them. An online system that screens prospective tenants and then evaluates them on your pre-defined acceptance criteria is also a great way to streamline your process.

Don’t Use Discriminatory Language in Advertisements

When posting an ad, it is important that you don’t use language that could appear to be discriminatory. Phrases such as “No Kids” or “Adults Only” automatically disqualify people with children. People with children are protected under familial status. When posting advertisements, a good way to make sure you are being impartial is to list facts and true things about the property instead of listing preference of any kind. For example, “Backyard backs up to running trails” instead of “no wheelchairs”. Read your ad and put yourself in someone else shoes. If it could be taken as discriminatory or targeting a specific group of people, don’t use it.

Do Keep Excellent Records

Keeping records is key to protecting yourself against false or misleading claims that you are violating the Fair Housing Act. Keep record of your screening and selection process, communication with prospective, current and past tenants. If a prospective/current tenant claims you have discriminated against them and you have kept record of the event, it will be much easier for you to prove your innocence. Keeping records will be helpful in other areas of your business as well.

Don’t Make Assumptions

Never assume you know what a person wants when showing a house. Don’t stereotype a person and show them a certain property based off that assumption. You also need to be careful when asking questions that could be taken the wrong way. Asking how many children they have, or what religion they are could be misinterpreted. Don’t “steer” a person to a certain neighborhood based on what you think about them or believe they will want. Rather, show all your available properties and let them decide for themselves what they think is best.

Do Be Consistent

All-in-all, if you value your tenants/buyers and treat everyone equally, you will be in compliance. Respect and consistency are key. Being consistent in your screening process, enforcement of rules, and every other area of your business will be the best practice to make sure you are aligned with the law. Basic human respect will keep you on the right side of the law.

If you follow these simple do’s and don’ts, stay informed on new and current laws, and keep yourself aware of good practices, you will be in the clear.

Ben Parham on EmailBen Parham on Linkedin
Ben Parham
Ben Parham is the President and Managing Real Estate Broker of Integrity Realty & Management, Inc., a cutting edge real estate sales and property management brokerage operating throughout the Greater Denver Area. Ben also served as the 2018 President of the Denver Chapter of the National Association of Residential Property Managers (NARPM) and has served as a NARPM National Southwest RVP Ambassador. Ben is a U.S. Navy veteran where he served as a Cryptologic Technician (Technical) and was awarded the Joint Service Achievement Medal, two Navy Achievement Medals, and a Good Conduct Medal. He has a Bachelor of Science in Business Administration and is licensed as a real estate broker in both Colorado and Florida.