Housing Discrimination
It is the policy of the Commonwealth that every Virginian be guaranteed equal access to housing under the law. However, when Congress first passed the Fair Housing Act in 1968, they made a political compromise to exempt small landlords and property owners from being held accountable for discrimination. And when Virginia passed its state Fair Housing Law in 1972, it echoed the same sentiment – the Commonwealth would continue to tolerate housing discrimination by some providers.
Two of the seven current exemptions include:
- Property owners who rent or sell three or fewer single-family houses without the use of a real estate agent
- Property owners who rent or sell four or fewer multi-family units in one dwelling and live in one of them
Nearly 40 years have passed since these laws were passed, and the assertion that permitting discrimination is “politically necessary” is no longer reasonable. It is both unfair and irrational to allow landlords with a small number of properties to discriminate in ways that are illegal for larger property owners. Moreover, the thresholds for exemption are arbitrary. Why should someone who owns three homes be able to discriminate when someone who owns four legally cannot?
A Large Part of the Market is Exempt
In 2008, half of all rental properties in Virginia were one-to-four unit properties. If they are rented without the use of a licensed real estate agent, they are likely exempt from the Virginia Fair Housing Law. This means that people with disabilities, families with children, and the elderly can legally be rejected for housing for which they would otherwise qualify. People who are discriminated against on the basis of their race or color (illegal under a 140 year-old federal statute) would be forced to seek remedies in court, rather than using the far simpler and less expensive administrative process set out in the Virginia Fair Housing Law.
Solution
These exemptions impede Virginia’s progress towards economic development and equality. The only sensible solution is to eliminate them from Virginia’s Fair Housing Law. This will ensure that all landlords, both small and large, are responsible for treating people fairly. It will also send an important message to the Commonwealth and the nation that Virginia is committed to providing all of its citizen’s equal opportunities to build strong and prosperous communities.
Property owners would benefit from the elimination of the exemptions as well. Being covered by the Virginia Fair Housing Law means being able to respond to a complaint of housing discrimination through the administrative complaint process, rather than having to hire a lawyer and go to court.
Related Concerns
Keeping Virginians in their homes will benefit everyone: the families who will not lose their homes,
the lenders who will have performing loans, and the communities that will not experience the impact of
multiple foreclosures. In addition, our partners will advance several other legislative priorities including:
• Establish & fund the Virginia Housing Trust Fund
• Create a Communities of Opportunity Tax Credit
• Mandate fair housing training for landlords and property managers
• Craft and adopt a statewide housing policy
• Establish a statewide database to which trustees must report certain information
