CHAPTER 14: FAIR HOUSING EXAM
QUESTIONS AND ANSWERS.
EQUAL OPPORTUNITY IN HOUSING - Answer The Illinois Real Estate License Act of 2000 and
the general rules require that licensees fully adhere to the principles of equal housing
opportunity. A licensee is prohibited from taking any listing or participating in any transaction in
which the property owner seeks to discriminate based on race, color, ancestry, religion, national
origin, sex, handicap, or familial status.
Breaking fair housing laws in Illinois is a criminal act and grounds for discipline. Violating
provisions or restrictions of the Illinois Real Estate License Act of 2000 (or the rules) can result in
suspension, nonrenewal, or revocation of the violator's license or censure, reprimand, or fine
imposed by IDFPR.
Federal Laws - Answer The federal government's effort to guarantee equal housing
opportunities to all U.S. citizens began with the passage of the Civil Rights Act of 1866. This law
prohibits any type of discrimination based on race.
The U.S. Supreme Court's 1896 decision in Plessy v. Ferguson established the "separate but
equal" doctrine of "legalized" racial segregation.
Title VIII of the Civil Rights Act of 1968, however, prohibited specific discriminatory practices
throughout the real estate industry.
In 1974, the Housing and Community Development Act added sex to the list of protected
classes. In 1988, the Fair Housing Amendments Act added disability and familial status (that is,
the presence of children). Today, these laws together are known as the federal Fair Housing Act.
Department of Housing and Urban Development (HUD) - Answer administers the Fair Housing
Act.
, HUD distributes the equal housing opportunity poster. This poster declares that the office in
which it is displayed promises to adhere to the Fair Housing Act and pledges support for
affirmative marketing and advertising programs. The fair housing poster should be displayed in
every real estate office.
NOTE: IN PRACTICE When HUD investigates a licensee for discriminatory practices, it may
consider failure to prominently display the equal housing opportunity poster in the licensee's
place of business as evidence of discrimination.
, damages for non-economic injuries (e.g., humiliation, embarrassment, inconvenience, and
mental anguish).
1995, Congress passed the Housing for Older Persons Act (HOPA), - Answer which repealed
the requirement that 55-and-older housing have "significant facilities and services" designed for
seniors. HOPA still requires that at least 80 percent of occupied units have one person age 55 or
older living there.
HUD Fair Housing Definitions - Answer HOUSING: dwelling that includes any building or part of
a building designed for occupancy as a residence by one or more families
A residential dwelling is defined as a 1-4 unit building where the owner lives in the building.
FAMILIAL STATUS: act's protections extend to families with children. The term includes a woman
who is pregnant. unless its a senior citizen living building Landlords cannot restrict the number
of occupants to eliminate families with children.
DISABILITY: having a history of, or being regarded as having, an impairment that limits one or
more of an individual's major life activities. Persons who have AIDS are protected by the fair
housing laws under this classification. SERVICE ANIMALS must be permitted
NOTE - Answer The rental of rooms or units is exempt in an owner-occupied one- to four-
family dwelling.
Note that dwelling units owned by religious organizations may be restricted to people of the
same religion if membership in the organization is not restricted on the basis of race, color, or
national origin. A private club that is not open to the public may restrict the rental or occupancy
of lodgings that it owns to its members as long as the lodgings are not operated commercially.
The Fair Housing Act does not require that housing be made available to any individual whose
tenancy would constitute a direct threat to the health or safety of other individuals or that
would result in substantial physical damage to the property of others.
Housing for older persons - Answer persons age 62 or older or housing occupied by at least
one person 55 years of age or older (where 80 percent of the units are occupied by individuals
55 or older) is exempt from the familial status protection.
QUESTIONS AND ANSWERS.
EQUAL OPPORTUNITY IN HOUSING - Answer The Illinois Real Estate License Act of 2000 and
the general rules require that licensees fully adhere to the principles of equal housing
opportunity. A licensee is prohibited from taking any listing or participating in any transaction in
which the property owner seeks to discriminate based on race, color, ancestry, religion, national
origin, sex, handicap, or familial status.
Breaking fair housing laws in Illinois is a criminal act and grounds for discipline. Violating
provisions or restrictions of the Illinois Real Estate License Act of 2000 (or the rules) can result in
suspension, nonrenewal, or revocation of the violator's license or censure, reprimand, or fine
imposed by IDFPR.
Federal Laws - Answer The federal government's effort to guarantee equal housing
opportunities to all U.S. citizens began with the passage of the Civil Rights Act of 1866. This law
prohibits any type of discrimination based on race.
The U.S. Supreme Court's 1896 decision in Plessy v. Ferguson established the "separate but
equal" doctrine of "legalized" racial segregation.
Title VIII of the Civil Rights Act of 1968, however, prohibited specific discriminatory practices
throughout the real estate industry.
In 1974, the Housing and Community Development Act added sex to the list of protected
classes. In 1988, the Fair Housing Amendments Act added disability and familial status (that is,
the presence of children). Today, these laws together are known as the federal Fair Housing Act.
Department of Housing and Urban Development (HUD) - Answer administers the Fair Housing
Act.
, HUD distributes the equal housing opportunity poster. This poster declares that the office in
which it is displayed promises to adhere to the Fair Housing Act and pledges support for
affirmative marketing and advertising programs. The fair housing poster should be displayed in
every real estate office.
NOTE: IN PRACTICE When HUD investigates a licensee for discriminatory practices, it may
consider failure to prominently display the equal housing opportunity poster in the licensee's
place of business as evidence of discrimination.
, damages for non-economic injuries (e.g., humiliation, embarrassment, inconvenience, and
mental anguish).
1995, Congress passed the Housing for Older Persons Act (HOPA), - Answer which repealed
the requirement that 55-and-older housing have "significant facilities and services" designed for
seniors. HOPA still requires that at least 80 percent of occupied units have one person age 55 or
older living there.
HUD Fair Housing Definitions - Answer HOUSING: dwelling that includes any building or part of
a building designed for occupancy as a residence by one or more families
A residential dwelling is defined as a 1-4 unit building where the owner lives in the building.
FAMILIAL STATUS: act's protections extend to families with children. The term includes a woman
who is pregnant. unless its a senior citizen living building Landlords cannot restrict the number
of occupants to eliminate families with children.
DISABILITY: having a history of, or being regarded as having, an impairment that limits one or
more of an individual's major life activities. Persons who have AIDS are protected by the fair
housing laws under this classification. SERVICE ANIMALS must be permitted
NOTE - Answer The rental of rooms or units is exempt in an owner-occupied one- to four-
family dwelling.
Note that dwelling units owned by religious organizations may be restricted to people of the
same religion if membership in the organization is not restricted on the basis of race, color, or
national origin. A private club that is not open to the public may restrict the rental or occupancy
of lodgings that it owns to its members as long as the lodgings are not operated commercially.
The Fair Housing Act does not require that housing be made available to any individual whose
tenancy would constitute a direct threat to the health or safety of other individuals or that
would result in substantial physical damage to the property of others.
Housing for older persons - Answer persons age 62 or older or housing occupied by at least
one person 55 years of age or older (where 80 percent of the units are occupied by individuals
55 or older) is exempt from the familial status protection.
