EstatePass
Practice Of Real EstateFair HousingMEDIUM

Redlining is an illegal practice that involves:

Correct Answer

B) Refusing to provide services (such as lending or insurance) in certain areas based on demographics

Redlining is the discriminatory practice of denying or limiting financial services to specific neighborhoods based on the racial or ethnic composition of those areas. It is prohibited under the Fair Housing Act and the Community Reinvestment Act.

Answer Options
A
Drawing boundary lines on a survey
B
Refusing to provide services (such as lending or insurance) in certain areas based on demographics
C
Marking properties with code violations
D
Highlighting the best neighborhoods for investment

Why This Is the Correct Answer

Sign up free to unlock full analysis

Why the Other Options Are Wrong

Sign up free to unlock full analysis

Deep Analysis of This Practice Of Real Estate Question

Sign up free to unlock full analysis

Background Knowledge for Practice Of Real Estate

Sign up free to unlock full analysis
Sign up free to unlock full analysis

Real World Application in Practice Of Real Estate

Sign up free to unlock full analysis

Common Mistakes to Avoid on Practice Of Real Estate Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Related Topics:

CRAsteeringblockbustinglending-discrimination

Key Terms:

redlininglending discriminationneighborhoodCRAinsurance denial

Related Concepts

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.

Brokers in Florida have strict responsibilities for managing escrow accounts, including monthly reconciliation and proper handling of trust funds.

FREC has the authority to impose fines and other disciplinary actions on licensees who violate real estate laws and rules.

Was this explanation helpful?

More Practice Of Real Estate Questions

People Also Study

Related Articles

Practice More Questions

Access 2,000+ practice questions and pass your real estate exam.

Start Practicing