As a landlord, one aspect of staying legally compliant is abiding by all anti-discrimination and landlord tenant laws. The Federal Fair Housing Act and the California Fair Employment and Housing Act require that landlords treat tenants fairly regardless of certain protected classes.
To ensure you stay legally compliant, the following is a guide to these laws and tips to help you along the way.
What is Fair Housing?
When renting out your property, you must give every applicant an equal opportunity to rent it. Mortgage providers, home buyers, and all other housing providers must also provide their clients with equal housing opportunities.
The need for fair housing came after a long and difficult journey. Before the enactment of the Federal Fair Housing Act in 1968, housing discrimination was commonplace. Often, the discrimination took the form of:
Redlining: This is a practice lenders used to refuse to provide mortgages or loans in certain neighborhoods, often based on race or color.
Steering: Landlords and real estate agents would guide prospective tenants toward certain neighborhoods based on race or color.
Discriminatory Ads: Landlords would specify that their properties were “whites only.” They would also use coded language to suggest ethnic or racial restrictions.
Fortunately, the momentum for fair housing began to take shape in the early 20th century. It was led by courageous activists and organizations.
The landmark legislation prohibited discrimination in housing based on four protected classes. That is, race, religion, color, and nationality.
Protected Characteristics Under California Fair Housing Act
Originally race, color, nationality, and religion were the only protected classes, but it has since been amended to include other protections as well.
By 1974, the Federal Fair Housing Act included 7 protected characteristics. That is, race, color, religion, sex, disability, nationality, and familial status.
The California fair housing laws have also further amended the federal antidiscrimination laws to include more protections. In addition to the 7 protected classes, California also ads income source, sexual orientation, age, marital status, military/veteran’s status, citizenship, gender identity, and arbitrary characteristics.
Who Oversees Fair Housing in California?
In California, it is the State’s Civil Rights Department that handles potential housing discrimination complaints. When someone files a discrimination complaint, the department will evaluate the facts and decide whether any merits exist.
The following are some of the actions that may potentially land you in trouble with the California Civil Rights Department.
Race or Color: As a landlord, it’d be illegal for you to treat a tenant or their guests differently because of their race or color.
Nationality: It’s illegal to deny a renter an opportunity to rent your home because of their nationality. You cannot also treat residents differently because of their nationality either.
Religion: Whether a tenant is an atheist, agnostic, Muslim, or Christian, you should treat them equally and fairly.
Sex: For instance, increasing their rent or threatening to evict them because of the birth of a child. You cannot also take negative actions against domestic violence survivors because of the actions of their abusers.
Familial Status: This refers to the presence of children under the age of 18 years in a household. You cannot engage in certain actions, such as putting restrictions on children’s outdoor recreation areas or charging higher security deposits to families with children.
Disability: This protected class was added in 1988 to cover individuals suffering from mental or physical disabilities from housing discrimination. It’d be illegal of you, say, to reject disabled persons because of having a support animal.
What Does The Fair Housing Act Exempt?
Some exemptions to the fair housing laws exist. They include the following:
Homes that are designated for individuals older than 55 years.
Organizations that are run by religious groups, such as Christians, Muslims, or Buddhists.
Membership clubs, such as non-profit organizations and clubs primarily serve a social, fraternal, or religious purpose.
Owner-occupied housing, where the owner rents out some of the units and occupies the others. The unit must have a maximum of four units to be exempt from the act.
How Landlords Can Stay Compliant with Fair Housing Laws
1. Properly Advertise the Unit
Avoid using phrases that suggest the kind of tenant you want. Rather, use the opportunity to provide prospective tenants with as much information about the unit as possible. Avoid phrases such as:
No Pets Allowed
English Speakers Only
Not Suitable for Disabled Individuals
2. Ask the Right Screening Questions.
Every landlord dreams of renting to quality tenants. But in doing so, you must ensure the questions you ask prospective tenants are without any bias based on the protected classes.
For example, avoid the following questions.
Are you pregnant?
Are these your children?
Are you a Muslim?
3. Accommodate Disabled Tenants
Disabled tenants enjoy certain special protections under the Fair Housing Act. Including, the right to be provided with certain reasonable requests for accommodations and modifications.
Including having an accessible parking spot or a caregiver live with them in the unit.
Bottom Line
Being familiar with the California fair housing laws is crucial to protecting yourself. You may also want to check for any extra laws at the local level as well.
For any questions or help in the overall management of your rental property, look no further than Penny Realty, Inc. PM. We provide quality property management services to property owners in the San Diego area. Get in touch to learn more!
Disclaimer: Please note that the information provided in this blog is intended for general guidance and should not be considered as a replacement for professional legal advice. It is important to be aware that laws pertaining to property management may change, rendering this information outdated by the time you read it.
