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Practice Of Real EstateFair_housingEASY

A Georgia real estate brokerage creates marketing materials for a residential subdivision. The brochure and website exclusively feature images of young couples without children, and no images depict families with children, elderly persons, or persons with disabilities. Under federal and Georgia fair housing advertising requirements, what is the primary legal concern with these materials?

Correct Answer

A) The materials may discourage persons in protected classes from inquiring about the properties

Under HUD's advertising guidelines implementing the Fair Housing Act (24 C.F.R. Part 109), marketing materials must not indicate a preference, limitation, or discrimination based on protected classes, including familial status, race, age-related characteristics, or disability. Exclusively using images of young childless couples, with no representation of families, older persons, or persons with disabilities, may have a discriminatory effect by discouraging members of protected classes from inquiring. HUD considers the overall impression created by advertising, including human models used, when evaluating compliance.

Answer Options
A
The materials may discourage persons in protected classes from inquiring about the properties
B
Marketing materials for upscale properties are presumed discriminatory under HUD advertising guidelines
C
The brokerage must include proportional representation of all federally protected classes in every advertisement
D
Only the subdivision developer bears legal responsibility for the content of marketing materials, not the brokerage

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Related Topics & Key Terms

Key Terms:

georgiastate_portionfederal_fha_overlay_in_georgiaga_fair_housing

Related Concepts

License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.

Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.

Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.

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