“Fairness is not an attitude. It’s a professional skill that must be developed and exercised.
As a landlord, you hold the keys to someone’s future home, and with that comes the responsibility to ensure equal opportunity for all.
However, navigating the federal fair housing law maze feels like a tightrope. One misstep, and you could face a housing-related services complaint or worse, a lawsuit.
But don’t worry because you’re not alone in this.
This guide will help you understand how to comply with state and federal law, avoid such discrimination, and create a welcoming environment for all tenants.
Key Takeaways
Treat all applicants equally, regardless of their protected characteristics like familial status, gender identity, or national origin.
Familiarize yourself with the Fair Housing Act, Equal Credit Opportunity Act, and the Disabilities Act to ensure compliance.
Consistency in tenant screening, advertising, and policies is your best defense against fair housing complaints.
What Is the Fair Housing Act?
The Fair Housing Act, part of the Civil Rights Act of 1968, is a federal law that prohibits discrimination in housing-related activities. It ensures equal access to housing for everyone, regardless of their protected class, which includes race, color, religion, national origin, sex, familial status, and disability.
The Fair Housing Act makes denying housing or providing unavailable housing illegal based on these characteristics.
Protected Classes Under the Fair Housing Act
The federal Fair Housing Act protects individuals from discrimination based on:
Race and color
National origin
Religion
Sex, including gender identity and sexual orientation
Familial status (e.g., household includes children or pregnant individuals)
Disabilities, including mental or physical impairments that substantially limit major life activities.
State and Federal Law: How They Work Together
While the federal government enforces the Fair Housing Act, many states have their own state fair housing laws that expand protections.
For example, some states include more protected classes, such as military status or public assistance. Always check with your local governments, public housing authorities, and providers to stay compliant.
Common Forms of Housing Discrimination
Discrimination Based on Familial Status
It’s illegal to deny housing to families with children or impose restrictions like “no kids allowed.” Even subtle actions, like steering families to specific units, can lead to a housing complaint.
Discrimination Against People with Disabilities
Failing to provide reasonable accommodations or denying reasonable modifications for tenants with disabilities violates the Disabilities Act.
Examples include refusing to install an accessible entrance or denying a service animal to someone with such an impairment.
Discrimination Based on National Origin and Religion
Bias against tenants of a particular religion or national origin is prohibited. For instance, you cannot refuse to rent to someone because of their cultural practices or dietary restrictions.
Legal Obligations for Landlords
Fair Housing Laws for Rental Properties
Whether you own single-family houses, owner-occupied buildings with four or fewer units, or larger complexes, you must comply with state and federal law. This includes treating all tenants equally and avoiding illegal discrimination.
The Equal Credit Opportunity Act
This law ensures fairness in mortgage lenders and tenant screening. You cannot deny housing based on marital status, public assistance, or other protected characteristics.
The Americans with Disabilities Act (ADA)
The Disabilities Act requires landlords to accommodate tenants with mental or physical disabilities. This includes allowing reasonable modifications like grab bars or ramps.
Best Practices to Avoid Housing Discrimination
How to Avoid Housing Discrimination as a Landlord
Treat all applicants equally, regardless of their protected characteristics.
Use consistent screening criteria for all tenants.
Avoid discriminatory language in advertisements.
Creating Non-Discriminatory Rental Policies
Your rental policies should focus on the property, not the tenant. For example, instead of saying “ideal for singles,” describe the property’s features like “spacious one-bedroom rental unit.”
Screening Tenants Fairly
Apply the same criteria to all applicants, such as credit checks and income verification. Avoid assumptions based on gender identity, sexual orientation, or national origin.
Handling Tenant Requests and Complaints
Responding to Tenant Requests for Reasonable Accommodations
If a tenant requests a reasonable modification, like an accessible entrance, you must comply unless it poses an undue burden. Document all tenant requests to protect yourself from future disputes.
Ensuring Fairness in Mortgage Lending and Different Housing Services
Discrimination in mortgage lending or providing different housing services violates fair housing laws. Landlords and housing providers must treat all applicants equally, regardless of their protected categories, to comply with federal and state law.
Consistency in financial evaluations and tenant services helps avoid legal risks and fosters inclusivity.
The Role of New Construction and Housing Choice in Fair Housing
Fair housing laws require new construction to meet accessibility standards, ensuring equal housing choice for individuals with disabilities. While exceptions may apply in limited circumstances, landlords must ensure their practices are substantially equivalent to federal and state law.
This commitment prevents being seen as a direct threat to fair housing principles.
How to Handle a Fair Housing Complaint
If a fair housing complaint is filed against you, cooperate fully with housing authorities and the Justice Department. Keep detailed records to demonstrate compliance with state and federal law.
Be mindful of how your actions may affect other tenants, ensuring fairness.
Avoiding Sexual Harassment and Other Forms of Unlawful Discrimination
Create a safe environment for all tenants by addressing sexual harassment and ensuring fair treatment in housing services.
Building Inclusive Communities Through Fair Housing
By following fair housing laws, you’re not just avoiding legal trouble but creating a community where everyone feels welcome. This benefits not only your tenants but also your reputation as a landlord.
Providing affordable housing and equal opportunity is a win-win for everyone involved. Supporting urban development initiatives can also help foster inclusive communities and expand housing opportunities.
Partner with Experts to Stay Compliant
Navigating the complexities of federal fair housing law can be challenging, but you don’t have to do it alone.
By partnering with us at PMI, you can ensure state and federal law compliance while focusing on growing your investment portfolio.
Don’t let a fair housing complaint derail your success; take proactive steps today to protect your business and tenants.
Ready to make your rental properties a model of inclusivity and compliance? Our services are here for you!
FAQ Section
1. Can I deny a tenant based on their source of income?
In many states, denying a tenant based on their source of income, such as public assistance, is considered illegal discrimination. Check your state fair housing laws for specific regulations.
2. What should I do if a tenant files a fair housing complaint?
Respond promptly and cooperate with the investigation if a tenant files a fair housing complaint. Provide documentation to show that you’ve complied with state and federal law.
3. Are there exceptions to the Fair Housing Act?
Yes, the Fair Housing Act has limited exceptions, such as owner-occupied buildings with four or fewer units and private clubs that provide housing to members only.
Other Resources:
7 Acceptable Reasons for Late Rent Payments Every Landlord Should Know
How to Draft a Professional Eviction Notice: Essential Steps and Tips
