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Practice Of Real EstateFair HousingEASY

Under the Maryland Fair Housing Act, which of the following property types is most likely exempt from fair housing prohibitions when the owner personally occupies the dwelling?

Correct Answer

C) An owner-occupied building with no more than four rental units

Under the Maryland Fair Housing Act, Md. Code Ann., State Gov't § 20-702, an exemption applies to owner-occupied dwellings containing no more than four units. When the owner lives in one of the units and rents the others, and does not use discriminatory advertising or a real estate broker, the property may qualify for this exemption. This mirrors the federal Mrs. Murphy exemption structure but applies to buildings with up to four units (not five).

Answer Options
A
A single-family home sold through a licensed real estate broker
B
An owner-occupied building with no more than five rental units
C
An owner-occupied building with no more than four rental units
D
A condominium unit listed on the multiple listing service

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Related Topics & Key Terms

Key Terms:

fair_housingexemptionsowner_occupiedmaryland_specific

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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