Real Estate Practice
Day-to-day practice requires knowledge of fair housing law, ethical conduct, and the mechanics of marketing and serving clients. This chapter emphasizes federal fair housing protections and the prohibited practices every licensee must avoid.
Federal Fair Housing Law
The Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability, and familial status. The Americans with Disabilities Act and other laws add further protections. Licensees must treat all prospects equally, provide the same level of service, and never make housing decisions based on a protected class. Violations can lead to complaints, fines, and license discipline.
Prohibited Discriminatory Practices
Steering is guiding buyers toward or away from neighborhoods based on a protected characteristic. Blockbusting is inducing owners to sell by exploiting fears about changing demographics. Redlining is denying loans or insurance based on the location of a property. All three are illegal, and a licensee must refuse to participate even when a client requests discriminatory treatment.
Serving Clients and Customers
Licensees market properties, qualify prospects, present offers, and coordinate transactions while maintaining honesty and competence. Advertising must be truthful and not misleading. A licensee should recognize the limits of their expertise and refer clients to attorneys, inspectors, or lenders when specialized advice is needed. Delivering diligent, professional service builds trust and reduces liability.