Keeping it Fair

It's a natural question when preparing to sell a home: What kind of person would be interested in buying it?

If a home is in a community with a predominant race or ethnicity, or is close to a particular place of worship, it may seem natural to advertise the home to appeal to a buyer fitting that profile.

It would also be illegal.

Anyone selling or renting out a home must comply with the Fair Housing Act, a federal antidiscrimination law designed to open housing opportunities to all. The law forbids discrimination based on the race, color, national origin, religion, familial status, sex, or physical and mental abilities of the potential lessee or buyer.

The restrictions apply across the board -- from the nation's largest home builder to each and every private homeowner.

Fines vary on a case-by-case basis, ranging from "a slap on the wrist" to $50,000 or more, according to Bill Thorne, Fair Housing compliance administrator for the Greater Las Vegas Association of Realtors.

"This applies to everyone who lists a home (for sale or rent), so they need to know how to comply with the law," Thorne said.

Most Americans agree with the spirit of Fair Housing, said Randa Todd, director of classified advertising for the Las Vegas Review-Journal and Sun, but few realize the extent of the law. Often, the first time a home seller or renter becomes aware of it is when calling to place a classified ad in the local newspaper.

"People need to know there are laws that are there to protect certain rights, such as Fair Housing, and as such they limit certain other rights," Todd said.

The law extends not only to the actual sale or lease of a home, but to the use of any associated privileges, as well as to how the home is listed for sale in advertisements. Homeowners associations must meet its requirements. So must media that accept ads for homes. This is why newspapers play a large role in informing the public about the law.

Because a publisher may share exposure to liability for running advertisements that violate Fair Housing and other federal antidiscrimination laws, newspapers must train their sales teams and proofreaders to avoid accepting ads with discriminatory language.

The Fair Housing Act dates to 1968, but has been amended over the years, most significantly by the Americans with Disabilities Act.

Regulatory authority falls upon the Department of Housing and Urban Development, which issues rough advertising guidelines. At first glance, they seem pretty simple: Don't refer to anything that might characterize a potential buyer or renter as belonging to one of the protected groups.

The specifics, however, are left to interpretation. To the homeowner who just wants to place an ad, figuring out acceptable ad language is sometimes frustrating.

Todd offers a common rule of thumb to consider.

"We tell (customers) `Describe the property, not the person,'" she said.

Even this often-cited bit of advice can be misleading. Todd said customers often want to include phrases such as "near church" or "near temple" in their ad. A property may be near these things, but including these statements disproportionately solicits people who want to use such facilities over those who don't. In other words, those are no-nos.

On the other hand, an owner may state a property is near shopping or a golf course (assuming it is).

To keep clear on the rules, Todd said her staff refers to two sets of guidelines, one compiled by the Newspaper Association of America, and the other a product of the Greater Las Vegas Association of Realtors. Both guidelines include lists of words in three categories: "acceptable," "unacceptable" and "caution."

Thorne, who helps maintain the GLVAR list, regularly lectures association members throughout the valley on how to comply with Fair Housing. Homeowners and brokers rarely intend to discriminate, he said, but often don't know what qualifies.

Even the experts aren"t too sure. In several cases, the two lists do not agree in their classifications. The Newspaper Association, for instance, lists "fisherman's retreat" and "handyman's dream" as caution words. The GLVAR calls both terms unacceptable.

Realtor associations, like media, must ensure their patrons follow the law. Thorne said the association closely monitors listings on its multiple-listing service.

The most common type of violation, according to Thorne, occurs when the homeowner describes the type of tenant he or shes prefers.

"They'll say, `no children' or `seniors preferred.' That certainly happens frequently and you can't do that," he said.

Almost as common is when the homeowner describes the kind of person who might prefer the property.

"Don't say `perfect for a retired couple.' Describe the physical characteristics of the property and let the individual make the decision for themselves based on the description," he said.

Often, only a slight change of verbiage is necessary to make an ad go from wrong to right. For instance, an ad may state "no tobacco" or "no smoking," but cannot call for "nonsmokers" only.

The rules are even trickier when it comes to forbidding drug use. An ad may state "no drugs" and even "no drug users." However, the ADA protects the rights of the mentally and emotionally handicapped, which "includes, but is not limited to, disease and conditions such as ... drug addiction (other than addiction caused by current, illegal use of a controlled substance) and alcoholism.

"Under federal law, the term `handicap' does not apply to an individual solely because that individual is a transvestite. Likewise, the law does not consider a person currently addicted to illegal drugs or convicted of illegal manufacture or distribution of controlled substances to be a `handicapped' person. However, former substance abusers involved in counseling and therapy with drug and alcohol abuse programs are considered handicapped."

To summarize the law: drugs, no; active drug users, no; convicted traffickers, no; recovering drug addicts, yes; Cpl. Klinger, no.

Blatant racism in housing has been rare for a long time, but reared its head recently. Thorne claimed he saw a rise in anti-Arab ads locally in the wake of the Sept. 11 terrorist attacks. Such times call for association members to be the voice of reason.

"It was an emotional response and it was short-lived. We did some education programs then and told everyone `calm down,'" Thorne said.

Long term, Thorne said racism is more likely a problem in lending, which also falls under Fair Housing legislation. Predatory lenders, he said, often target vulnerable groups, such as the elderly or minorities, for higher fees and interest rates.

HUD is charged with investigating allegations of discriminatory practices and imposing sanctions.

Thorne said the federal approach to Fair Housing law has shifted under the current administration toward educating the public regarding the law with minor violators sometimes receiving a warning. Previously, all violations were pursued for sanctions, even "innocent mistakes" made by property owners unfamiliar with the law.

The law hasn't changed, however, and owners shouldn't count on ignorance as a defense, Thorne said.

"Just make sure your property is available to anyone who wants it and can qualify," he said.

Real Estate home