A developer in Montgomery advertises a new condominium complex as a '55+ community' and restricts sales to buyers who are at least 55 years old. A 40-year-old buyer is denied purchase and files a complaint under the Alabama Fair Housing Law. Which of the following best describes the legal status of this restriction?
Correct Answer
B) The restriction is likely lawful if the community qualifies as housing for older persons under federal exemption standards.
Age is NOT a protected class under the Alabama Fair Housing Law (Code of Alabama §24-8-1 et seq.) or the federal Fair Housing Act. Furthermore, the federal Housing for Older Persons Act (HOPA) provides an exemption from familial status discrimination claims for communities that qualify as '55 and older' housing — meaning at least 80% of occupied units must have at least one person 55 or older, and the community must publish and follow policies demonstrating intent to be senior housing. If the community meets these federal standards, the age restriction is lawful.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Antitrust violations in real estate occur when competing brokerages or agents engage in practices that restrain trade, reduce competition, or harm consumers through collusion. These violations are governed by the Sherman Antitrust Act and can result in severe penalties.
Broker supervision is the legal obligation of a designated or managing broker to oversee and be accountable for the real estate activities of all salespersons and associate brokers operating under their license.
Commingling is the illegal act of mixing client funds with a broker's personal or business operating funds, while conversion is the unauthorized use of client funds for the broker's own benefit. Both are serious violations that can result in license revocation.
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