Is discounted rent for 1sr responders legal?

Is discounted rent for 1sr responders legal?

Lane BabinPro Member
Rental Property Investor · Lake Charles, LA · Member since 2017 · 20 posts · 7 votes

Is it legal to offer a discounted rent rate to 1st responders? It's legal for regular business, but I have a feeling it is violating some type of antidiscrimination laws for HUD with respect to renting. Can someone more knowledgeable please elaborate?

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Nathan GesnerBusiness Member
Moderator
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
8y

It is completely legal. Can you be sued for discrimination? Sure. But that doesn't mean you are discriminating and it doesn't mean you would be found guilty.

You are offering a reward to a specific group of people that are not a protected class. I personally waive application fees for prior military because I'm retired military myself and like to reward those that have served. As long as your policy is available to all and applied equally to all, you should be just fine.

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  • Real Estate Broker · Provo, UT · Member since 2013 · 689 posts · 511 votes
    8y
    Interesting question. In regards to Real Estate, this could be more of an advertising issue that could lead to a problem, or it could be totally fine but Anything is possible - in a dystopian world I could see this turning into a discrimination complaint when you have 2 separate tenant applications. For example, one is Mr. firefighter, the other is Mr. welder- and you end up renting to the Mr. F. While fabricators are not a protected class, Mr. welder could get a thorn in his side and make a fair housing complaint to hud. I would word my tenant advertising really carefully.
  • Mike CumbieBusiness Member
    REALTOR® · Brockport, NY · Member since 2015 · 3k+ posts · 4k+ votes
    8y

    Hi @Lane Babin

    DISCLAIMER: Not legal advice for your area or mine for that matter. I am just some dolt spouting opinions on the internet that may or may not have any value, use for entertainment purposes only!

    That being said, HUD has a "Good neighbor Next Door" Program where they allow Teachers/Police/Fire/EMS to purchase at a discounted rate (50% of asking) as long as they live there for a couple years. Now the amount of properties available are slim, but not sure how ready they are going to be to fight/prosecute you... for having a discounted rent option for "Good Neighbors Next Door"

    Good Luck on whatever you do!

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    8y

    It is completely legal. Can you be sued for discrimination? Sure. But that doesn't mean you are discriminating and it doesn't mean you would be found guilty.

    You are offering a reward to a specific group of people that are not a protected class. I personally waive application fees for prior military because I'm retired military myself and like to reward those that have served. As long as your policy is available to all and applied equally to all, you should be just fine.

    The DIY Landlord Book4.7248 Reviews
  • Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes
    8y
    Originally posted by @Lane Babin:

    Is it legal to offer a discounted rent rate to 1st responders? It's legal for regular business, but I have a feeling it is violating some type of antidiscrimination laws for HUD with respect to renting. Can someone more knowledgeable please elaborate?

     I think you'll be fine unless some crazy liberal attorney with an axe to grind tries to make the case that offering 1st responders a discount creates a disparate impact on folks that meet the criteria of his client as people like his client are not usually able to get a job as a 1st responder.

  • Jennifer T.Pro Member
    Investor · New Orleans, LA · Member since 2014 · 1k+ posts · 944 votes
    8y
    Originally posted by @James Wise:
    Originally posted by @Lane Babin:

    Is it legal to offer a discounted rent rate to 1st responders? It's legal for regular business, but I have a feeling it is violating some type of antidiscrimination laws for HUD with respect to renting. Can someone more knowledgeable please elaborate?

     I think you'll be fine unless some crazy liberal attorney with an axe to grind tries to make the case that offering 1st responders a discount creates a disparate impact on folks that meet the criteria of his client as people like his client are not usually able to get a job as a 1st responder.

    I hate to say it, but this is where I could maybe see it being a problem.  For example, disabilities are a protected class.  Many disabilities would preclude someone from being in the military and/or a 1st responder position.

    I won't even pretend to know how something like this would usually play out.  Because you do see this kind of stuff all the time.  Including in job postings for the US govt., no less.  But, personally, I'm pretty torn on the idea.  While I like the idea of rewarding someone in a career that gives back to the community, and realize this is a extra "perk" (not a detraction), at the same time, it's also a "perk" that some members of the community would literally never be able to have access to because of a disability.

    I am one of those people.  I was diagnosed with a major medical condition at a young age.  I am able to work f/t, at least at the present time, but there are a lot of jobs I've always been disqualified for because of it.  In a nutshell, life dealt me a really bad hand.  Not as bad as many, but bad.   And it is just one more thing that sucks to constantly be reminded ALL.THE.TIME. of what other people can do/have and I can't.

    Didn't mean for that to be a "woe is me" story, but did want to give a different perspective.

    I wouldn't sue you over your ad ;).  But I obviously can't speak for others.

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