Anti-Discrimination in Home Buying

Many people may be afraid of facing discrimination when applying for credit. However, numerous protections are offered throughout this process.

The Equal Credit Opportunity Act (ECOA) prohibits creditors from discriminating against applicants throughout the transaction process. These protections are focused on discrimination because of race, color, religion, national origin, gender, marital status, or age.

In addition, creditors are unable to discriminate against an applicant due to any portion of his or her income deriving from a public assistance program (i.e. welfare). For those afraid of retaliation for exercising rights under federal consumer credit protection laws, there are protections in this case as well.

Not only does the ECOA apply to credit transactions involving residential property, it also extends to other credit transactions. For example, if you're applying for a credit card or an auto loan, you would be covered here.

Another law, the Fair Housing Act, prohibits housing discrimination because of race, color, religion, sex, disability, familial status, or national origin. This ranges from someone selling a home to you, loan application, property improvement, and residential real estate appraisal

For additional questions regarding real estate law, contact Michna Law Group by phone at 847.446.4600 or by email at BJM@MichnaLaw.com.