What is steering in real estate practice?

Prepare for the Mckissock 8-hour National Valuation Bias and Fair Housing Laws and Regulations Test. Study with flashcards and multiple choice questions with detailed explanations. Ensure your success on exam day!

Multiple Choice

What is steering in real estate practice?

Explanation:
Steering means directing or encouraging a buyer or renter toward or away from certain neighborhoods or types of housing because of protected characteristics such as race, color, religion, national origin, sex, familial status, or disability. This narrows a person’s housing options and reinforces segregation, which federal fair housing laws prohibit. In practice, steering shows up when a licensee consistently guides different clients to different areas or discourages looking in areas based on a client’s protected status, rather than presenting all available options that meet the client’s needs and budget. The right approach is to provide complete information about all suitable properties and neighborhoods and to treat every client equally. The other choices describe non-steering discriminatory actions or compliant practice, not the illegal directing described here.

Steering means directing or encouraging a buyer or renter toward or away from certain neighborhoods or types of housing because of protected characteristics such as race, color, religion, national origin, sex, familial status, or disability. This narrows a person’s housing options and reinforces segregation, which federal fair housing laws prohibit. In practice, steering shows up when a licensee consistently guides different clients to different areas or discourages looking in areas based on a client’s protected status, rather than presenting all available options that meet the client’s needs and budget. The right approach is to provide complete information about all suitable properties and neighborhoods and to treat every client equally. The other choices describe non-steering discriminatory actions or compliant practice, not the illegal directing described here.

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