Fair Housing

The Fair Housing Act prohibits discrimination in housing sales, rentals, and financing on the basis of race, color, national origin, religion, sex, disability status, or the presence of children. The law makes clear, however, that housing intended for older adults could exclude families with children. Nevertheless, the Housing for Older Persons Act, enacted in 1995, gives more flexibility for people under 55 to live in housing developments for older adults. This was done in part because older adults are increasingly caring for grandchildren and living in intergenerational arrangements (see also Intergenerational Cooperation). The 1995 law removed the requirement that housing for older adults has “significant facilities and services” designed specifically for older adults. However, many state housing laws still have not yet incorporated this increased flexibility.

Because disability status is a protected class, all new multifamily housing must meet basic accessibility requirements. In addition, tenants may make physical modifications to their unit or common areas to improve accessibility—for example, installing a ramp, putting in grab bars, or lowering a countertop. Owners also must make certain reasonable accommodations in their rules and policies to permit tenants full use and enjoyment of the premises.

Section 504 of the Rehabilitation Act of 1973 imposes similar requirements on housing programs receiving federal funds. It also mandates that the housing provider pay for necessary and reasonable physical modifications up to certain limits. The Americans with Disabilities Act of 1990 applies to the public areas of buildings. This includes multifamily residential buildings, which may have first-floor public or retail space, laundry areas, or rental offices.

Adding disability as a protected class in the Fair Housing Act is intended to increase housing opportunities for people with disabilities. It prohibits owners from discriminating on the basis of disability status in admitting or evicting residents. Owners also may not limit the rights of tenants with disabilities who comply with their lease. This law has potentially important legal implications. It could affect situations in which housing and residential care providers require residents to move to a higher level of care when they need a walker or wheelchair, become incontinent, or need other assistance, or when local regulations bar residents from remaining in a facility if they cannot evacuate themselves within a specified time.

Animal ownership: The Fair Housing Act requires that proprietors allow animals as reasonable accommodation for people who have a disability that requires such an animal. For example, a visually impaired person may have a guide dog. The Housing and Urban Renewal Recovery Act of 1983 requires that older adults in federally subsidized units be allowed to have a pet, subject to the reasonable rules and regulations of the housing sponsor.

Source-of-income discrimination: This occurs when building owners refuse to rent to a housing applicant solely because of that person’s lawful source of income. This includes a housing voucher, alimony, disability payment, federal or state assistance, and other benefits payments. Source-of-income discrimination can be a pretext for a prohibited form of discrimination. It disproportionately limits housing options for renters from certain groups, including those from communities of color, women, and people with disabilities. Some states and localities have banned source-of-income discrimination. Doing so makes it easier for older adults and others to find housing that is affordable and appropriate. It is particularly helpful for housing voucher recipients to be able to use them in high-opportunity neighborhoods with proximity to jobs and other amenities of a livable community.

Artificial intelligence (AI): In recent years, AI tools have been deployed in ways that can both improve fair housing outcomes and perpetuate housing discrimination (see also Artificial Intelligence). On the positive side, governments have been piloting AI tools that identify fair housing violations more accurately than human systems alone. AI tools can analyze large datasets quickly and accurately, identifying patterns and potential violations that would otherwise be missed. This can make the process of identifying fair housing violations more efficient and reliable. This is important, as fair housing violations can have significant negative impacts on individuals and communities, leading to discrimination and unequal access to housing.

However, AI tools have also been used in ways that exacerbate fair housing challenges. For example, housing ads on AI-driven platforms have been shown to predominately white users. Likewise, AI-driven tenant-screening reports may inappropriately deny housing to people from certain protected classes (see also Tenant-Screening Reports and Scores). According to the Consumer Financial Protection Bureau, most tenant-screening reports lack rent payment history, which has a clear and direct connection to the ability to afford rental housing. Instead, they focus on other factors such as eviction and criminal history, which disproportionately affect people from communities of color, and a significant portion of the data used is outdated or inaccurate.