Read this to ensure you have a basic understanding of the Fair Housing Act.
Landlords and property managers need to pay attention to fair housing laws for apartments.
Just last year in New York City, as reported in The New York Times, an undercover investigator posing as a prospective tenant asked if a building’s landlord would accept her Section 8 federal housing voucher. An independent broker said the landlord “does not; she wants well-qualified people.”
In Nashua, New Hampshire, the U.S. Attorney brought suit against a property manager for allegedly refusing to allow a reasonable accommodation of a tenant’s disability when the tenant wanted to get an emotional support dog.
These incidents exemplify current violations of the Fair Housing Act.
What is the Fair Housing Act?
Four years after the Civil Rights Act of 1964, President Lyndon Johnson signed the Fair Housing Act into law after the assassination of Dr. Martin Luther King, Jr.
The act prohibits discrimination against certain protected categories: race, color, national origin, religion, sex, familial status and disability. FHA is one of the most important landlord-tenant laws. Despite its being a law for over 50 years, the Department of Housing and Urban Development received 7,575 complaints in 2020.
5 Common (but not obvious) violations of the Fair Housing Act
The Fair Housing Act extends beyond just tenant screening and leasing to advertising. Sometimes, discrimination is not obvious. In fact, there are legal avenues for finding discrimination even in the absence of evidence of intentional discrimination, known as “disparate impact.”
Here are some common violations to the FHA that may not seem obvious:
1. Asking a prospective tenant how many children they have
That’s discriminatory since the FHA protects familial status. But, you legitimately need to know how many people will live in the rented space. You may ask how many people under 18 will live there since there’s no mention of the word “family.”
2. Refusing to install grab bars for a disabled resident
The FHA makes it unlawful to refuse to make “reasonable accommodations to rules, policies, practices or services” when people with disabilities need these to use their homes and common areas.
3. Charging a pet deposit for an assistance animal
Even if you have a no-pet policy, you have to allow a service animal. And you’re not allowed by law to charge a pet fee for these animals.
4. Advertising that your rental unit is within walking distance of a particular house of worship
This language could be perceived as discriminatory or that you prefer renters who belong to a particular church or religion.
5. Treating renters with children differently than renters who don’t have children.
You can’t have a rule that says “children can’t use scooters in the courtyard” if every other resident can ride their scooter. You must allow it for all or for none.
What happens if you have a claim against you?
Tenants may file a complaint with HUD or a state or local fair housing agency. You must file the complaint within a year of the alleged incident. It may take several months for an investigation to ensue.
The agency involved will try to negotiate a compromise between the landlord and the tenant. If both parties can’t come to a conciliation agreement, the fair housing agency will hold an administrative hearing to find out if there was discrimination.
It’s possible that you might be sued in a state or federal court if you haven’t yet been through this conciliation agreement process. According to the legal encyclopedia site NoLo, “in a typical federal lawsuit, the tenant has consulted an attorney immediately after the landlord’s alleged discriminatory conduct. The attorney prepares a complaint and asks the court for an expedited hearing, hoping to get an order from the court directing the landlord to cease the discriminatory practice without a formal hearing.”
It’s important that you find a lawyer who has experience with discrimination claims. Defending against a housing discrimination claim is costly. If you’re found guilty of discrimination, you, the landlord, might have to rent to the person who accused you of discrimination, pay damages to an applicant you illegally rejected, pay a civil penalty and pay punitive damages and attorneys fees.
How to avoid violating the Fair Housing Act
Develop a set of written policies that are fair and reasonable. Then, make sure that you apply them consistently in all your rentals. Make sure that your rules are equal to all persons and not just to certain groups, such as teenagers or children.
During the application process, keep all documentation. If someone files a complaint, HUD may ask for information on your rental process: rent figures, types and numbers of apartments shown, deposits, fees, etc.
You want to have the best renters on your property, and that means you sometimes have to decline an applicant. Do so based on your established written criteria.
Learn about fair housing laws for apartments
Knowledge and education are your best protection. Familiarize yourself with FHA laws and remain current in your knowledge. In addition to federal rules, there may also be local and state laws to learn about. (i.e., genetic information, citizenship or military status)
HUD, through its National Fair Housing Training Academy, offers training and resources, as does the National Association of Realtors. The Center for Fair Housing has outreach and education programs geared toward landlords, property managers and real estate professionals.
While it may seem onerous for landlords and property managers to follow the guidelines, equal housing opportunity benefits everyone. As the National Fair Housing Alliance puts it, “ensuring that every neighborhood is a place of opportunity is fundamental to America’s success.”
The information contained in this article is for educational purposes only and does not, and is not intended to, constitute legal or financial advice. Readers are encouraged to seek professional legal or financial advice as they may deem it necessary.
Source: rent.com