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Real Estate Licensing Massachusetts-Real-Estate-Salesperson Exam - Topic 3 Question 6 Discussion
Topic #: 3
Multi-ethnic families were beginning to move into a neighborhood that had previously been all one ethnicity. A local broker passed out flyers to homeowners that said, "Sell now before it's too late! We have beautiful new homes with attractive financing and good schools." These flyers would likely be viewed by the courts as
Comprehensive and Detailed Explanation (150--250 words):
Blockbusting is the illegal practice of inducing homeowners to sell by suggesting that the entry of minority or ethnic families into the neighborhood will negatively affect property values. The flyer in this scenario explicitly encourages homeowners to sell ''before it's too late,'' a textbook example of blockbusting under the Fair Housing Act of 1968.
A (good marketing) is wrong because the intent is discriminatory.
C (redlining) refers to lenders refusing to provide loans in certain areas, not brokers pressuring owners.
D (steering) involves directing buyers toward or away from certain neighborhoods.
Thus, the courts would identify this as blockbusting.
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