A Nevada property owner who rents out a single-family home using a Nevada-licensed property manager tells the manager to reject any applicant who attends a specific religion's house of worship. The property manager refuses to follow this instruction. Which of the following best explains the property manager's legal obligation under the federal Fair Housing Act?
Correct Answer
C) The property manager must refuse the instruction because religion is a federally protected class and using a licensed agent eliminates any single-family home exemption.
Religion is one of the seven federally protected classes under the Fair Housing Act. While the FHA does contain a limited exemption for single-family home owners who rent without using a broker or agent and without discriminatory advertising, this exemption is lost when a licensed real estate agent or property manager is used. Because the property manager is a licensed Nevada agent, the single-family home exemption does not apply, and the manager is legally required to refuse the discriminatory instruction.
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Related Topics & Key Terms
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Related Concepts
Commingling is the illegal act of mixing client trust funds with a broker's personal or business operating funds; conversion is the misappropriation of those funds.
Continuing education (CE) refers to the ongoing coursework that licensed real estate professionals must complete during each renewal cycle to maintain an active license. CE ensures agents stay current with changes in laws, regulations, and industry practices.
The National Do Not Call Registry is a federal program administered by the FTC that allows consumers to opt out of receiving unsolicited telemarketing calls, including calls from real estate agents soliciting business.
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