Unit 18

Question 1

A real estate broker sends a bright yellow flyer to all the homeowners in a neighborhood. The flyer contains a reprinted article from a local newspaper describing the future relocation plans of various employers in the region and this statement, printed in bold red letters: “Warning! The failure to sell your property within the next six months could cost you a bundle!” At the bottom of the page was printed the broker’s name, photo, office address, and phone number. Based on these facts, the broker

Answer 1

has committed no offense.

Question 2

If a real estate professional is the subject of threats or acts of violence brought about by compliance with the Fair Housing Act,

Answer 2

the perpetrator of the acts is punishable by criminal action.

Question 3

A landlord refuses to rent a vacant apartment to a couple with two small children because he is concerned the children will disturb the sick and elderly woman in the apartment next door. Which of these is most likely TRUE?

Answer 3

The refusal constitutes a violation of the Fair Housing Act because it discriminates on the basis of familial status.

Question 4

The Fair Housing Amendments Act of 1988 included

Answer 4

more severe penalties for violations and additional damages.

Question 5

Complaints of discriminatory housing practices filed with HUD will be referred to a local enforcement agency if

Answer 5

the state or municipal law is substantially equivalent to the federal law.

Question 6

A real estate professional said to a homeowner, “I hear they’re moving in. There goes the neighborhood! Better put your house on the market before values drop!” This is an example of what illegal practice?

Answer 6

Blockbusting

Question 7

Real estate professionals must scrutinize their business practices and be particularly careful NOT to fall victim to

Answer 7

clients or customers who expect professionals to discriminate.

Question 8

Why is the Civil Rights Act of 1866 unique?

Answer 8

It provides no exceptions that would permit racial discrimination.

Question 9

A real estate appraiser is

Answer 9

subject to the requirements of fair housing laws.

Question 10

Protection from threats or acts of violence against those who assist and encourage open housing rights is found in

Answer 10

the Fair Housing Act.

Question 11

The federal Fair Housing Act prohibits discrimination on the basis of

Answer 11

national origin.

Question 12

An occupancy requirement is exempt from familial status protection under the Fair Housing Act if the housing is intended to be occupied by

Answer 12

persons 62 years of age or older.

Question 13

Which agency provides for display the Equal Opportunity Poster?

Answer 13

HUD

Question 14

A person who has a physical or mental disability is

Answer 14

protected by the provisions of the Fair Housing Act.

Question 15

In the rental process, a landlord who puts members of a protected class on a certain floor or building may be found guilty of

Answer 15

redlining.

Question 16

A prospective homebuyer who is African-American asks about the availability of a home in a predominantly white residential neighborhood for which the prospective buyer has been financially qualified. What should the broker say to this prospect?

Answer 16

“I’ll be pleased to show you houses in that area.”

Question 17

A neighborhood has a large population of recent immigrants from Asian countries. When a couple that had just arrived from South Korea came to a broker to look for a home to buy, he suggested they look at listings only in this neighborhood. The broker violated the Fair Housing Act because his actions constitute

Answer 17

steering.

Question 18

Under the HUD regulations that enforce the Fair Housing Act, advertisements of residential property for sale or rent

Answer 18

may not include language indicating a preference or limitation.

Question 19

Housing that qualifies for exemption from familial status provisions

Answer 19

includes a restriction that 80% of the units be occupied by persons 55 or older.