Real Estate · Fair Housing and Discrimination

What is 'steering,' and why is it a fair housing violation a broker must prevent?

  1. A Directing a client to the best-priced home
  2. B Guiding prospective buyers toward or away from particular neighborhoods based on protected characteristics such as race or national origin, which unlawfully limits housing choice
  3. C Recommending a home inspector
  4. D Negotiating on a client's behalf

Why this is the answer

Steering is the illegal practice of directing prospective buyers or renters toward or away from certain neighborhoods, buildings, or areas based on a protected characteristic — such as race, color, religion, national origin, sex, familial status, or disability — rather than the client's own stated preferences. It violates the federal Fair Housing Act because it limits housing choices and perpetuates segregation. A broker must train and supervise agents to avoid steering, blockbusting, and discriminatory advertising, and to treat all clients equally. Because brokers are responsible for their firm's compliance, fair-housing supervision is a recurring broker-level theme, and violations can bring serious penalties.
Source: ARELLO Broker Fair Housing

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