Fair Housing Laws


FAIR HOUSING REFERENCE GUIDE

US Fair Housing laws prevent discrimination for protected classes of individuals seeking housing. It's very important that we abide by these laws.


Use this when advertising, screening, and approving/denying lease applications. If something touches a protected class, stop and check this guide.


All TOPM Employees are required to abide strictly by fair housing laws. Failure to comply with these laws may result in employment termination.

1. Federal Protected Classes (Always Apply)

You may not discriminate because of race, color, religion, sex (includes sexual orientation & gender identity), national origin, disability, or familial status. (Department of Justice, HUD)

Retaliation/interference with anyone exercising these rights is illegal (42 U.S.C. §3617 / 24 CFR 100.400). (Legal Information Institute, Legal Information Institute)

2. Texas & Austin Add‑Ons

  • Texas Fair Housing Act (Property Code Ch. 301) mirrors the federal list; enforced by the Texas Workforce Commission Civil Rights Division. (Texas State Law Library Guides, Hidalgo County)
  • Austin City Code adds: age, marital status, student status, creed, sexual orientation, gender identity, and source of income. (Austin Texas, Austin Texas)
  • Source of income + SB 267: Texas blocks cities from requiring landlords to take vouchers, except veterans’ vouchers. (LegiScan, Texas Housers)

3. What Counts as Discrimination in Processing

  • Disparate treatment: Different fees, criteria, timing, or communication for protected groups. (Department of Justice, HUD)
  • Disparate impact: “Neutral” policies that hit protected groups harder (e.g., blanket criminal bans, rigid occupancy caps) without a legitimate, documented business necessity. (HUD, HUD)
  • Advertising: No phrases that signal preference/limitation (“no kids,” “Christian community,” “perfect for singles”). (Department of Justice, Austin Texas)

4. Disability, Accommodations & Assistance Animals

  • Accommodation = policy change; Modification = physical change. Engage in an interactive process and ask only for info needed to verify the disability/need if it isn’t obvious. (HUD, HUD)
  • Assistance animals are not pets: no pet rent/deposits; breed/species bans only if you can prove a direct threat. (HUD, HUD)

5. Criminal & Credit History Rules

6. Occupancy Standards

  • HUD “Keating Memo”: 2 persons/bedroom is generally reasonable, but adjust for square footage, unit layout, ages of kids, septic limits, etc. (HUD, RentPrep)
  • Texas law: Max 3 adults per bedroom (children don’t count toward that cap). (Texas Statutes, Findlaw)

7. Retaliation, Harassment, Interference

No coercion, intimidation, threats, or penalties for requesting accommodation, filing/assisting a complaint, etc. Document all interactions. (Legal Information Institute, Federal Register)

8. Workflow Checklist


A. Before Advertising

  • Review copy/images: describe property/features, not people. (Remember Austin extras.) (Austin Texas)

B. Application Intake

  • Same form, fee, deadline, and communication for everyone.
  • Don’t ask about protected traits. If someone volunteers a disability-related need, move to the accommodation process. (HUD)

C. Screening Criteria (Write it. Publish it if possible.)

  • Income/credit: objective thresholds tied to actual risk.
  • Criminal: individualized review; capture nature/severity/recency + your rationale. (HUD, HUD)
  • Occupancy: Start with HUD 2/bedroom AND TX 3‑adult/bedroom; adjust with facts. (HUD, Texas Statutes)

D. Decisions & Notices

E. Accommodation Requests

  • Acknowledge promptly.
  • Ask only what’s needed to verify disability/need.
  • Provide decision in writing; document. (HUD, HUD)

F. Recordkeeping

  • Keep apps, criteria, notes, and notices ≥ 2 years (longer if your policy says so).

9. Sample Red‑Flag Phrases to Ban

  • “No vouchers/Section 8” (Austin ordinance protects source of income; SB 267 only exempts you from being forced—veterans’ vouchers still protected). (LegiScan, Texas Housers, Austin Texas)
  • “Adults only,” “no kids,” “perfect for singles/Christians,” etc. (Department of Justice, Austin Texas)
  • “No felonies ever.” (Too broad; likely disparate impact.) (HUD, HUD)
  • Pet deposits on assistance animals. (HUD, HUD)

  1. Familial Status // Household definition

In the context of Texas law, particularly concerning familial status under fair housing regulations, a "household" typically refers to all individuals who occupy a housing unit. This includes families with children under 18, individuals, and other living arrangements where people live together, whether related by blood, marriage, or adoption. Familial status is a protected category under the Fair Housing Act and Texas Fair Housing Act, meaning that housing providers cannot discriminate against families with children or pregnant individuals.

Key Points About Familial Status in Texas:

  1. Families with Children: A household with at least one person under 18 living with a parent, legal custodian, or a person who has written permission to care for the child is protected under familial status.
  2. Pregnancy and Adoption: Individuals who are pregnant or in the process of securing legal custody of a child are also covered under familial status protections.
  3. Non-Traditional Families: Households may include unmarried partners, extended family members, or other groupings that provide care and support to children.

Legal Framework:

  • Fair Housing Act: At the federal level, the Fair Housing Act prohibits discrimination based on familial status, including in Texas.
  • Texas Fair Housing Act: This state law mirrors federal protections, ensuring that families with children have the right to live in any housing where they can afford the rent and meet other non-discriminatory qualifications.

Importance:

Understanding the definition of "household" is crucial for both landlords and tenants to ensure compliance with fair housing laws and to prevent discriminatory practices in rental and sales of housing

  1. Edge Cases to Flag for Manager Review

If you're not 100% certain you are not violating Fair Housing Laws, check with the PM.

Some edge cases you may need to request manager review for:

  • Co‑signers/guarantors (income anomalies, student applicants).
  • HOA rules that might conflict with accommodations.
  • Subsidized housing, vouchers (especially non‑veteran vouchers under SB 267’s carve‑outs). (LegiScan, Texas Housers)
  • Assistance animals outside typical species. (HUD, HUD)
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