1. Florida Real Estate Principles, Practices & Law 39th Edition
Unit 7: Federal and State Laws Pertaining to Real Estate

2. Civil Rights Act of 1866
Prohibits discrimination based on race in all real estate transactions
No exceptions
Jones v. Mayer Supreme Court decision

3. Civil Rights Act of 1964
Ended racial segregation in schools, workplaces and public accommodations
Prohibits discrimination based on race, color, religion, or national origin in
Public accommodations
Hotels, restaurants, gas stations, places of entertainment
Public facilities: government-run facilities

4. Civil Rights Act of 1968: Fair Housing Act
Title VIII of Civil Rights Act of 1968
Discrimination is illegal in sales, leasing, advertising sales or rentals, financing, or brokerage services if based on
Race
Color
Religion
Sex
National origin
1988 amendment added
Handicap (mental or physical)
Familial status

5. Familial and Handicap Status
Familial status
Families with children under 18 and pregnant women
Handicap status
Any physical or mental impairment that interferes with normal life functioning

6. Memory Tool: FRSH CRN (Fresh Corn)
Familial status
Race
Sex
Handicap status
Color
Religion
National origin

7. No Protection Under Fair Housing Act
Age
Occupation
Marital status
Sexual orientation
State or local laws may add additional protected classes

8. Fair Housing Poster Pledges adherence to the Fair Housing Act
Displayed at real estate brokerage offices, mortgage lender offices
Available free from HUD
Failure to display poster may be used as evidence of discrimination in a complaint

9. Fair Housing Act Covers
Single-family housing
Government owned housing
Privately owned if licensee employed to sell or rent the property
Property owned by person who owns four or more residential units
Owner, during past 2-year period, sells two or more houses (not owner-occupied)

10. Fair Housing Act Covers:
Multifamily housing
Five or more units
Four or fewer units (not owner-occupied)

11. Housing for Older Persons
Exempt from the familial status protection provided
All units are occupied by persons 62 or older; or
At least 80% of the units are occupied by one or more persons 55 or older

12. Transactions Exempted Under the Act
Exemptions apply under two conditions
A real estate licensee is not involved
No discriminatory advertising

13. Exempt Transactions Seller owns three or fewer single-family dwellings
Seller was not living in the house and was not most recent resident when property was sold or rented (One exempt sale in 24-month period)
Rentals in multifamily dwellings with four or fewer family units and owner lives in one of the units
If racial discrimination, Civil Rights Act of 1866 applies

14. Special Exemptions
Housing operated by religious organizations and private clubs not operated for commercial purposes
Religious organizations may restrict units to members of their religion provided they do not discriminate in accepting membership
Private clubs may restrict units to its members

15. Prohibited Activities
Steering
Channeling homeseekers to or away from neighborhoods
Blockbusting
Using entry or rumor of entry of a protected class to urge owners to sell
Redlining
Denying loans or insurance coverage or different terms and conditions for homes in certain neighborhoods

16. Prohibited Activities
Refuse to rent to, sell to, negotiate with, or deal with a member of a protected class
Quote different terms, conditions, or privileges for buying or renting
Advertise housing is available only to people of a certain race, color, sex, religion, national origin, handicap status, or familial status
Deny membership or use of any real estate service
Make false statements concerning availability of housing for inspection, rent, or sale

17. Enforcement of the Fair Housing Act
Complaints filed with HUD under the Fair Housing Act
One year time limit
Action taken by the Department of Justice
Civil suits filed in Federal District Court
Responsibility and liability of real estate licensees

18. Florida Fair Housing Act
Same 7 protected classes as federal law
Prohibits
Refuse to rent or sell housing
Falsely deny that housing is available for inspection, rental, or sale
Refuse to make a mortgage loan
Impose different conditions or terms on a loan
Threaten, coerce, or intimidate any individual exercising a fair housing right
Refuse reasonable changes to a dwelling to accommodate a disability

19. Americans With Disabilities Act (ADA)
Protects employment and accessibility rights of individuals with mental and physical disabilities
Disabled cannot be denied access to public transportations, public accommodations, and commercial facilities
Includes real estate brokerage offices even if located in a private residence
Modifications may be required if readily achievable
Florida Americans With Disabilities Implementation Act

20. Interstate Land Sales Full Disclosure Act (ILSA)
Federal law that regulates sale or lease of land
Administered by Consumer Financial Protection Bureau (CFPB)
Certain developers must register developments and disclose to prospects facts regarding the real estate

21. Two Components Registration requirement Property report
Developers must register subdivisions of 100 or more lots with Bureau of Consumer Financial Protection
Property report
Developers of 25 or more lots must provide purchaser with a property report disclosure before signing contract
May cancel within 7 days
Buyers who did not receive report prior to signing contract may cancel within 2 years

22. Residential Landlord and Tenant Act
Place landlords and tenants on equitable legal basis
Applies to rental of dwelling units
Not transient facilities
Not renting of mobile home lots
Not commercial leases

23. Deposits and Advance Rents
Landlord must account for deposits and advance rents
Hold money in a separate noninterest-bearing Florida bank account for the benefit of tenant
Hold money in a separate interest-bearing Florida bank account and pay the tenant at least 75% interest or 5% per year simple interest
Post a bond for amount of security deposits and advance rents or $50,000 (whichever is less) and pay tenant 5% per year simple interest

24. Deposits and Advance Rents
Landlord must provide written notice to tenant within 30 days of collecting deposit

25. Broker Property Management
If a broker holds the funds on behalf of the landlord, broker must abide by license law regarding escrow funds
Deposits and advance rents are trust funds that must be deposited into the broker’s escrow
Best to open a separate escrow for property management but not required
$5,000 broker’s funds to maintain the account
Sales associates must deliver rent and rental deposits to broker by end of next business day

26. Obligations to Maintain Premises
Landlord
Meets health and building codes
Working heat and running hot water
Insect extermination, garbage receptacles and pickup
Working smoke detectors
Tenant
Use reasonable care in operation of equipment
Not disturb peace of others

27. Landlord’s Access to Premises
Tenant must allow landlord to enter property to make inspections, provide services, make repairs, and to show property
Landlord may enter property at any time in case of emergency
Otherwise, obligated to give tenant reasonable notice (at least 12 hours)

28. Vacating Premises When landlord is holding a security deposit
Return to tenant within 15 days if no claim is to be made
Send written notice by certified mail within 30 days if claim is made
Tenant allowed 15 days to respond to landlord’s written claim
Disputes handled in civil court
Exception to conflicting demand rules if broker is holding security deposit

29. Termination of Rental Agreement by Tenant
7-day written notice
Rent may be reduced by a court if tenant desires to remain on premises
Notice delivered
Personally
Mailed

30. Termination of Rental Agreement by Landlord
7-day written notice
3-business-day written notice for non-payment of rent
Notice delivered
Personally
Mailed
Posted on door

31. Eviction Requirements
Notify tenant in writing (3-business-day or 7-day)
After time period is up, file complaint for eviction
Tenant has 5 business days to respond to complaint
If tenant continues to occupy without responding, obtain final judgment from court
Post 24-hour notice
Sheriff signs writ of possession