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Practice Of Real Estate DisclosuresFair_housingHARD

All exemplify lawful private real estate controls except:

Correct Answer

C) Restricting sales to unrepresented races

Option C — restricting sales to unrepresented races — is unlawful because it constitutes a racially restrictive covenant, which is void and unenforceable under both federal law (Fair Housing Act, 42 U.S.C. §3604) and California law (Civil Code §53, FEHA Government Code §12955), regardless of whether it appears in a private HOA document or deed. No private agreement, no matter how formally recorded, can lawfully restrict property ownership or sale on the basis of race, as affirmed by the Supreme Court in Shelley v. Kraemer (1948).

Answer Options
A
Limiting American flag size on property
B
Forbidding exterior paint colors other than beige
C
Restricting sales to unrepresented races
D
Banning large dogs over 40 pounds
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Related Topics & Key Terms

Related Topics:

protected-classesreasonable-accommodationssteering-and-redlining

Key Terms:

racially restrictive covenantsCC&RsFair Housing ActShelley v. KraemerCivil Code 53

Related Concepts

Megan's Law requires states to make information about registered sex offenders available to the public. Some states require real estate agents to inform buyers about the availability of sex offender registries.

Mold disclosure involves informing buyers about the presence of mold or conditions that are conducive to mold growth in a property. While no federal mold disclosure law exists, many states require disclosure of known mold issues.

A property condition disclosure is a written statement by the seller detailing the known condition of the property, including defects, repairs, and issues with major systems. Most states require sellers to complete this form.

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