Selling a home can be a hectic time. Cleaning, packing things away, preparing for a move, boosting curb appeal, and much more can consume your thoughts. But another key factor that you should also understand is fair housing laws.
Whether you’re working with a licensed agent or selling a property on your own, you are responsible for complying with federal, state, and local fair housing laws throughout the sales process. These laws are not just for landlords or real estate professionals—they apply to anyone involved in a housing transaction, including private homeowners.
Fair housing compliance protects your interests as a seller while helping to create a more equitable and fair housing market for everyone. The Fair Housing Actas amended, is a federal law that prohibits discrimination in housing transactions based on race, color, national origin, religion, sex, disability, and familial status (having children under the age of 18, being pregnant, or having legal custody or guardianship of a child under 18).
In Pennsylvania, there are two additional protected classes – age (over 40) and users, handlers, and trainers of assistance animals for individuals with disabilities. Many boroughs, townships and cities have local laws that include additional protected classes, such as source of income, marital status, or veteran status.
Some sellers mistakenly believe that fair housing rules only apply to professionals in the real estate industry. This is not the case. Fair housing laws in Pennsylvania apply to private individuals who sell their homes, even if they are not working with a real estate agent, are selling “For Sale by Owner,” use word-of-mouth or private advertising, or are selling only one property. The law does not make exceptions for “good intentions” or personal preferences. Discrimination, whether it is overt or subtle can lead to serious consequences, including legal action where a prevailing plaintiff or complainant can be awarded damages including attorney’s fees. You could also face civil penalties and punitive damages.
It is unlawful for sellers to refuse to sell a home based on a buyer’s protected class, to offer different terms or conditions based on protected class, to publish discriminatory advertising, or to make comments or decisions that are biased or discriminatory. As a seller reviewing offers, it is important to make your decision based solely on the financial terms of the offer (price, contingencies, closing timeline, etc.) and not on the personal characteristics of the prospective buyers. You may not consider the race or ethnicity of the buyers, their family composition (e.g., single person vs. couple with children), the age, religion, or national origin of the buyers, the sex of the buyers, or if anyone in the buyers’ family has a disability. Even casual comments like “We’d love to sell to a young family,” or “We want someone is a good fit for the neighborhood,” can be unlawful.
Discriminatory language in listings is one of the most common fair housing pitfalls. Avoid phrasing that implies a preference or discouragement such as “Perfect for young families” “Christian neighborhood” “Ideal for single professionals or couples” “Not accessible” or “Not suitable for elderly residents.” Focus instead on the physical attributes of the property such as “Spacious layout with flexible room use” “Quiet, tree-lined street” “Close to transit, parks, and shopping” or “Move-in ready with lots of natural light.” All advertising and discussions about the home for sale should focus on the features of the home, not the people that you imagine living there. It is important to remember that it is the right of the prospective buyer to determine whether or not the home and the neighborhood are a good fit for their family.
If you’re working with a real estate agent or broker, make sure they are committed to upholding fair housing laws. If your agent engages in discriminatory practices such as “steering” certain buyers to or away from the property based on protected characteristics, you could be held legally responsible for their behavior. Signs of unlawful steering or discrimination may include statements such as “Your neighbors probably want someone like you in the home” or “I don’t think that family would be comfortable here.” Avoid asking your agent any information about the race, national origin, religion, sex, familial status, or disability of the prospective buyers that express interest in the home. Even questions like “Where are they from?” or “What are they like?” might lead an agent to disclose whether a buyer is a member of a protected class. Be clear when working with your real estate agent that every qualified buyer must be treated equally.
Some buyers include personal letters, often called “love letters,” describing their family and why they hope to buy the home. While well-intentioned, these letters often include personal information (photos, children’s names, religious references, etc.) that can inadvertently expose the seller to bias or accusations of discrimination. To reduce risk, you can ask your agent not to accept or forward buyer letters. You can also let buyers know up front that personal letters will not be considered and that you will focus solely on the terms of each offer.
Selling a home that represents your memories can be emotional and feel very personal. It is important to remember that by understanding and following fair housing laws, you’re not just avoiding legal consequences – you are playing a role in building a more just and inclusive housing market for all people, regardless of who they are. If you have questions about how fair housing laws apply to your home sale, believe you have experienced housing discrimination, or would like to request fair housing publications and resources, please reach out to us here.
