Steering happens when a real estate agent or broker attempts to guide a buyer from a specific area or neighborhood to another due to race, color, or religion. It is discriminatory and degrades the worth of humans.
For any real estate agent or broker who is ethically conscious, an article like this will guide into avoiding this ill practice. By abiding by such laws, we can live in a society where our differences don’t divide us.
The Fair Housing Act
Illegal steering was very predominant during the 1960s, which lead to the enactment of the Civil Rights Act in 1968. This act made it unlawful to discriminate against anyone based on their religion, race, or national origin. This act further widened to include sex, age, or handicap status.
This law enactment eliminated such occurrences in the real estate market. However, there are still defaults that often span out from ignorance.
How To Avoid Steering
- Good Communication
Effective communication is something you should make a priority. Start by listening and understanding the other party. Only then can you establish an understanding. When talking, use simple terms and be concise. If possible, summarize and confirm the information you have. That is to ensure that you’re on the same page with your client.
2. Ask Certain Questions
These tips are all about being specific with your questions. Enquire where they want to live, and narrow it down to the street and road. The responses will help you make a perimeter, thereby leading to a better decision. By having the ideal place in mind, you can avoid steering.
3. Focus On The Property
You need to ensure that every focus is on the property and not on your client’s personality. Work with the features they want, and try to come up with houses with these qualities. Try as much as possible to avoid assumptions and predictions. Your client has to decide where he or she lives.
4. Direct To The Police
If the client wants to look at the crime rate of an area, direct them to the police. Try to avoid making crime statistics, even if you’re sure. Instead, refer them to a reliable source. Stating or assuming that a place is safe is steering.
5. Stick To The Rules
Most often, some clients are persuasive and persistent in their questions. Be adamant and state that you can’t provide such information. Turn them down as calmly as possible, and they will have no choice but to understand.
Conclusion
Steering is a legal issue that could dent your portfolio as a real estate agent or broker. It would help if you played by the rules to avoid problems. Like you already know, legal issues cost money and reputation. In the end, you find yourself in the losing end. That is why you must understand these laws and strive to abide by them.