When are there no exemptions to the applicability of the federal fair housing law?

• A. There are no exemptions to the applicability of federal fair housing laws when a real estate license is involved.
• B. There are exemptions for owner-occupied dwellings.
• C. There are exemptions for rental listings of four units or less.
• D. There are exemptions for sales to family members.

Answer: (A)

Federal fair housing law generally prohibits discrimination in housing transactions, but there are a few narrow exemptions. Those exemptions cover things like owner-occupied dwellings in small buildings, private sales or rentals without a broker, and sales to family members. However, when a real estate license is involved in a transaction, none of those exemptions apply—the protections of fair housing law still fully apply. So, the scenario with no exemptions is specifically when a real estate license is involved. The other options describe exemptions that exist under the law, not situations without exemptions.