Real Estate Sales Exam Fair Housing and Ethics 2 — Questions and Answers
Question 1: A landlord refuses to rent to a family with children by claiming the unit is 'adult only.' Which protected class does this violate under the Fair Housing Act?
- Race
- Familial status (Correct answer)
- National origin
- Religion
Correct answer: Familial status
Familial status is a federally protected class, and refusing to rent to families with children under 18 is illegal discrimination.
Question 2: Which of the following exemptions allows a private individual to sell their home without complying with the Fair Housing Act?
- The owner lives in the property and sells without a broker or discriminatory advertising (Correct answer)
- Any private homeowner can always opt out
- Properties valued under $100,000 are exempt
- Single-family homes are always exempt
Correct answer: The owner lives in the property and sells without a broker or discriminatory advertising
The owner-occupied exemption applies only when the owner sells without a broker and does not use discriminatory advertising.
Question 3: A tenant who uses a wheelchair requests that a no-pets policy be waived for their trained service dog. The landlord must:
- Deny the request because the lease prohibits animals
- Allow the service dog as a reasonable accommodation (Correct answer)
- Charge an additional pet deposit
- Require the tenant to move to a ground-floor unit only
Correct answer: Allow the service dog as a reasonable accommodation
Fair housing law requires landlords to grant reasonable accommodations for assistance animals used by persons with disabilities.
Question 4: Which federal agency primarily enforces the Fair Housing Act through complaint investigation?
- Federal Trade Commission (FTC)
- Department of Housing and Urban Development (HUD) (Correct answer)
- Consumer Financial Protection Bureau (CFPB)
- Department of Justice (DOJ)
Correct answer: Department of Housing and Urban Development (HUD)
HUD is the primary federal agency that investigates fair housing complaints filed by individuals.
Question 5: Blockbusting is best defined as:
- Refusing to make loans in minority neighborhoods
- Inducing homeowners to sell by suggesting minority groups are moving in (Correct answer)
- Steering buyers toward neighborhoods based on income
- Advertising homes with language that discourages protected classes
Correct answer: Inducing homeowners to sell by suggesting minority groups are moving in
Blockbusting involves inducing panic selling by implying that the entry of minority groups will lower property values.
Question 6: Under the Americans with Disabilities Act (ADA), which type of property is most directly required to provide accessible public accommodations?
- Single-family residential homes
- Owner-occupied duplexes
- Commercial properties open to the public (Correct answer)
- All rental properties regardless of size
Correct answer: Commercial properties open to the public
The ADA requires places of public accommodation — including commercial real estate open to customers — to be accessible.
Question 7: A real estate agent who belongs to NAR is bound by the NAR Code of Ethics primarily to:
- Follow only state licensing law
- Act in the exclusive interest of sellers at all times
- Treat all parties honestly and promote their clients' interests ethically (Correct answer)
- Disclose all client confidential information to buyers
Correct answer: Treat all parties honestly and promote their clients' interests ethically
The NAR Code of Ethics requires REALTORS® to be honest with all parties while zealously representing their clients within ethical bounds.
Real Estate Sales Exam Fair Housing and Ethics 2
A landlord refuses to rent to a family with children by claiming the unit is 'adult only.' Which protected class does this violate under the Fair Housing Act?