Does preferring single tenants violate the Fair Housing Act?

Question

Hypothetically, my property manager and I have discussed recent applications for my single family home. We feel that a single tenant would be less wear and tear long term than a family with kids. But... would that be considered discrimination under the Fair Housing Act (which disallows discrimination against children)? For the purposes of this discussion, let's pretend the single person applied before the family, and we feel both are "qualified". Again... hypothetically, of course.

Ronald Perich · Answer

Personally, I'd be questioning the competency of the property manager right now. They should have immediately told you that you cannot choose your potential residents based on this criteria. But they didn't? Huh.

A competent PM should and will know not only the federal regulations, but also any state or locality specific requirements. Your PM should have sat you down at the beginning of the relationship to discuss the screening and selection process. First qualified? Most qualified within a set period? Selection criteria? Things to look for as immediate "no" votes (like a filthy car or showing up late for the walk-through).

Check out http://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter5-2.html

Carlos Fernandez · Answer

Wear and tear is not that big of a deal that it should trump ability to pay, actually paying, paying on time, being low maintenance, creating a sense of community/having a stake in the community, making the unit their home so they'll stay long term, and so many other things.

Spread the good karma around between landlords and tenants. Don't discriminate.

And fire the PM.

Kenneth LaVoie · Answer

It would be based on familial status. Keep in mind, there are many criteria to who you decide. Have your policies written down somewhere, maybe even on your website. Do you choose the FIRST qualified or the MOST qualified? I don't think you have to have a set in stone policy, but what you don't want to do is show evidence of discrimination by violating one of your own polcies. My thoughts are that it's safer to NOT have too many set in stone policies. For example, if your stated policy is "first qualified" then if you pass up the single mom in favor of the nuclear family, and they're both qualified, and the mom came first, you COULD get called out on discrimination. What if the first qualified just had that "look" ... low pants, ending every sentence with "yo..." etc. Or had poorly behaved children in tow. You can't discriminate against having children (familial status) but you can discern based on what you perceive to be poor parenting. And so it goes ... but I think it's super important to keep a list of each person you've "vetted" so you can at least have an argument as to why you disqualified someone from the running.

PS. Single person would be less wear and tear but will probably move out sooner too!

Kyle J. · Answer

Sounds like it would be discrimination based on familial status.

Maggie Tasseron · Answer

I agree with most of what you say, but would hesitate to put policies in writing. I have rented to some people who met all the criteria you'd think would guarantee a good tenant, but who turned out to be miserable in other ways; one was picky beyond belief, another constantly threw loud parties, etc. etc. It isn't always an advantage to put these things in writing as they can come back to bit you later on, and one thing you can't put on an applicant handout is "We don't rent to people about whom we just have a bad feeling".

John Thedford · Answer

FRSHCRN...pronounced FRESHCORN. Those stand for the protected classes. F-familial status. You cannot discriminate if a family has children. I agree with another poster: find a new PM. Yours is off to a bad start. If they get sued for violation of fair housing laws, you could also find yourself as a defendant because they are your agent. No legal advice given. I also agree to put your policies in writing. We have a handout we give to each prospect outlining what would disqualify an applicant. Make sure you apply your standards to all applicants.

Account Closed · Answer

I you have 4 units or less and are not using a broker you can choose whom you want to live in your property

"As written, the FHA covers most — but not all — housing.  Some exemptions to coverage under the FHA include: (a) owner-occupied buildings with no more than four units (which is commonly known as the Mrs. Murphy exemption); (b) single family housing sold or rented without the use of a broker if the private individual owner does not own more than three such single family homes at one time; or (c) housing operated by organizations and private clubs that limit occupancy to members."

Russell Brazil · Answer

If you accepted both applications, you need to pick the best applicant of the two regardless of the familial status.  If the single woman has a 680 credit score, and the family has a 690 credit score, then you need to pick the family with the higher credit score.  Who applied first is completely beside the point because you continued to take applications.  If you take a less qualified applicant you are begging to be reported for a fair housing violation.

Maggie Tasseron · Answer

Thanks, Sarah, that's kind of what I thought. Whether it comes to tenants or toaster ovens, I just prefer to shop around a bit first LOL. You may have read another of my posts stating that there are tactful and legal ways to give yourself options, one being to tell everyone who comes for a viewing that you already have had several other applicants. There's no way for anyone to know who called or applied first so that always works for me.

PS: I love your "rat" slogan!

Sarah Shockley · Answer

@Maggie Tasseron

There is not any state law in Florida that says you must rent to the first qualified applicant.

However, it is my personal policy, and is somewhat common sense.

Really interesting to hear everyone's opinions on what can easily venture into dangerous (illegal) territory with regards to 'turning down' applicants!

Does preferring single tenants violate the Fair Housing Act?

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