On a Saturday morning, REALTOR® B, answered an e-mail from Buyer C, a recent college graduate who was moving into the city to take her/his first teaching job at Northwest High School. Buyer C was married, had two young children, and was a veteran. After working with Buyer C to determine whether her/his family could afford a three-bedroom home in the $240,000 range, REALTOR® B described available properties near Northwest High School and set up appointments to show houses to Buyer C. That afternoon, REALTOR® B showed Buyer C and her/his spouse three houses in neighborhoods near the high school. On Monday, at a faculty meeting, Buyer C met Buyer D, who was also moving into the city to take a teaching position at the same high school and who was also in the market for a home. Buyer D was married with two young children and was also a veteran. Buyer C told Buyer D of REALTOR® B's knowledge of the market and VA financing and how helpful she/he had been. Buyer D called REALTOR® B's office that afternoon and asked for REALTOR® B. REALTOR® B met Buyer D and determined Buyer D could also afford a home in the $240,000 range. Buyer D told REALTOR® B that she/he was also a new teacher at Northwest High School and had been referred by Buyer C. Buyer D was black.

REALTOR® B showed Buyer D houses in several neighborhoods undergoing racial transition but did not show Buyer D homes in neighborhoods near the high school. Buyer D asked about houses closer to Northwest High School. REALTOR® B replied that she/he had no knowledge of any homes in that area for which  Buyer D could qualify. The next day, Buyer D, while visiting Buyer C, discussed her/his problems in finding a home near the high school and learned that REALTOR® B had shown Buyer C several homes near the high school. 

1. What are the potential legal implications for REALTOR® B in this case?
2. How does fair housing law apply to the actions of REALTOR® B in showing homes to Buyer D?
3. Should REALTOR® B have shown Buyer D homes near Northwest High School, even if he believed that Buyer D would prefer the home in the other neighborhood?
4. How could REALTOR® B have prevented discrimination in this situation?
5. What steps could the National Association of REALTORS® take to promote fair housing practices among its members?

Answer rating: 100% (QA)

The scenario described raises several potential legal implications for REALTOR B particularly in relation to fair housing laws and potential discrimination based on race Here are considerations for th... View the full answer