Fair Housing Act

Glossary

Plain-language definition of the Fair Housing Act and why it matters for multifamily leasing, screening, marketing, and risk management.

Definition

The Fair Housing Act (FHA) is a federal law that protects people from housing discrimination when renting, buying, seeking financing, seeking housing assistance, or taking part in other housing-related activities. It prohibits discrimination based on federally protected classes, including race, color, national origin, sex, familial status, disability, and religion. In multifamily operations, the FHA can apply not only to intentional discrimination but also to neutral-looking policies that create a discriminatory effect on a protected class.

Example

A multifamily operator updates its leasing process so every applicant is evaluated against the same written rental criteria, then reviews screening rules—such as criminal-record or automated screening factors—to check whether they may improperly screen out people in a protected class.

Why It Matters?

The FHA affects everyday decisions in leasing, marketing, screening, renewals, and resident communications. HUD, DOJ, and private litigants can challenge discriminatory housing decisions or practices, including those involving automated tools, so operations leaders need consistent policies, staff training, and review processes that reduce fair housing risk.

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