A condominium association in Kennebunkport, Maine has a policy requiring all residents to be at least 55 years of age. A prospective buyer with two teenage children is denied purchase of a unit under this policy. The buyer files a fair housing complaint alleging violation of the familial status protected class under the federal Fair Housing Act. Which of the following best describes the legal status of the association's policy?
Correct Answer
A) The policy is legal if the community qualifies as housing for older persons under the Housing for Older Persons Act.
Under the Housing for Older Persons Act of 1995 (HOPA), communities may lawfully restrict residency to persons 55 and older without violating the familial status protections of the federal Fair Housing Act, provided three conditions are met: (1) at least 80% of occupied units must have at least one resident who is 55 or older; (2) the community must publish and follow policies that demonstrate intent to be 55+ housing; and (3) the community must register with HUD. If the Kennebunkport condominium meets all HOPA requirements, its age-restriction policy is a valid exemption to the familial status protected class.
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Related Concepts
Advertising regulations govern how real estate licensees may market properties and services, requiring truthful, non-deceptive advertising that includes proper identification of the brokerage.
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.
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