Real Estate Sales Fair Housing and Ethics Questions and Answers

Question 1

A real estate agent approaches homeowners in a diverse neighborhood and warns them that property values are likely to fall due to an increasing number of minority families moving in.
The agent then offers to list their properties for a quick sale.
This illegal practice is known as:

Accepted Answer

Panic peddling

Answer

Steering

Answer

Redlining

Answer

Price fixing

Question 2

A licensee is working with a couple and, based on their national origin, decides to show them properties only in neighborhoods with a high concentration of residents from the same background. The licensee assumes they would be 'more comfortable' there. This is an example of the illegal practice of:

Accepted Answer

Steering

Answer

Blockbusting

Answer

Redlining

Answer

Puffing

Question 3

Under the Fair Housing Act, a landlord is required to make changes in rules, policies, practices, or services to afford a person with a disability an equal opportunity to use and enjoy a dwelling. Which of the following is the best example of a required reasonable ACCOMMODATION?

Accepted Answer

Assigning a specific, conveniently located parking space to a tenant with a documented mobility impairment.

Answer

Allowing a tenant to install a wheelchair ramp to the front door at their own expense.

Answer

Completely renovating the kitchen with new appliances for a tenant with severe allergies.

Answer

Paying to install grab bars in the bathroom for a tenant in a wheelchair.

Question 4

The Federal Fair Housing Act prohibits discrimination based on seven protected classes. Which of the following characteristics is NOT a protected class under the federal act itself, although it may be protected under some state or local laws?

Accepted Answer

Sexual Orientation

Answer

Religion

Answer

Familial Status

Answer

Disability

Question 5

A REALTOR® is representing a seller. The REALTOR®'s own brother submits an offer to purchase the property. According to the NAR Code of Ethics, what is the REALTOR®'s primary obligation?

Accepted Answer

To disclose their personal relationship with the buyer to the seller in writing.

Answer

To advise the seller to reject the offer to avoid a conflict of interest.

Answer

To recommend their brother's offer over others, as they can vouch for his reliability.

Answer

To reduce their commission since a family member is involved in the transaction.

Question 6

A mortgage company has an internal policy of denying all loan applications for properties located within a certain neighborhood because a majority of the residents are minorities. This is done without considering the creditworthiness of individual applicants. This illegal discriminatory practice is called:

Accepted Answer

Redlining

Answer

Steering

Answer

Blockbusting

Answer

Appraisal fraud

A real estate agent approaches homeowners in a diverse neighborhood and warns them that property values are likely to fall due to an increasing number of minority families moving in.The agent then offers to list their properties for a quick sale.This illegal practice is known as:

A real estate agent approaches homeowners in a diverse neighborhood and warns them that property values are likely to fall due to an increasing number of minority families moving in.
The agent then offers to list their properties for a quick sale.
This illegal practice is known as: