Housing Discrimination

Laws prohibit racial and other discrimination in housing. Yet housing experts and civil rights attorneys say bias remains persistently challenging to prove, let alone eliminate. Here’s how to recognize housing discrimination, the laws that are meant to protect you from it, and how to fight it.

Fair Housing Act Prohibits Discrimination in Appraisals

On February 14, 2022, DOJ filed a statement of interest to make clear that the Fair Housing Act prohibits discrimination in home appraisals. The statement relates to a motion to dismiss filed in Austin, et al. v. Miller, et al. (N.D. Cal.), a private lawsuit alleging that the defendants violated the Fair Housing Act by discriminating on the basis of race in a home appraisal. After the defendants’ appraisal, the plaintiffs — a Black couple — erased all evidence of race from their home and had a white friend pose as the homeowner for a second appraisal, which set the home’s value at nearly $500,000 more. The statement of interest explains that appraisers may be liable under the Fair Housing Act, highlights the United States’ commitment to combat appraisal discrimination, provides an overview of the Fair Housing Act’s broad purpose and remedial intent, and addresses the pleading standard for Fair Housing Act claims.

What is a Reconsideration of Value (ROV)

A reconsideration of value (ROV) may be requested by consumers to reassess the analysis and conclusions of their initial appraisal when provided with additional information that may affect the value conclusion. Consumers can provide information to a lender during an ROV request that includes additional comparable property information and additional information pertaining to characteristics of the subject property, such as square footage. An ROV offers consumers who suspect that their appraisal may have been influenced by racial or ethnic bias an avenue by which they might be able to request a different valuation that results in a better outcome.