Sec. 14.03.04.06. Discrimination in Real Estate Related Transactions

A. Discriminatory Practices in Residential Real Estate Related Transactions.

(1) This regulation provides the Commission's interpretation of the conduct that is unlawful housing discrimination under State Government Article, §20-707, Annotated Code of Maryland.

(2) It shall be unlawful for a person whose business includes engaging in residential real estate related transactions to discriminate against a person in making available a transaction, or terms or conditions of such a transaction, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

B. Discrimination in the Making of Loan and Other Financial Assistance.

(1) It shall be unlawful for a person whose business includes engaging in the making of residential real estate related transactions, loans, or other financial assistance to discriminate against a person in making available loans or other financial assistance for a dwelling, or which is or is to be secured by a dwelling, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(2) Prohibited practices under this section include, but are not limited to:

(a) Failing or refusing to provide to a person, in connection with a residential real estate related transaction, information regarding the availability of loans or other financial assistance, application requirements, or procedures or standards for the review and approval of loans or financial assistance because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation; or

(b) Providing information which is inaccurate or different from that provided others, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

C. Discrimination in the Purchasing of Loans.

(1) It shall be unlawful for a person engaged in the purchasing of loans, debts, or security which support the purchase, construction, improvement, repair, or maintenance of a dwelling, or which are secured by residential real estate to:

(a) Refuse to purchase a loan, debt, or security; or

(b) Impose different terms or condition for the purchase, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(2) Unlawful conduct under this section includes, but is not limited to:

(a) Purchasing loans, other debts, or securities which relate to, or are secured by dwellings in certain communities or neighborhoods but not in others, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation of individuals in the neighborhoods or communities;

(b) Pooling or packaging loans, other debts, or securities which relate to, or which are secured by dwellings differently, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation; or

(c) Imposing or using different terms or conditions on the marketing or sale of securities issued on the basis of loans or other debts, or securities which relate to or which are secured by dwellings, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(3) Exclusions.

(a) This section does not prevent consideration, in the purchasing of loans, of factors justified by business necessity, including requirements of law, relating to a transaction's financial security, protection against default, or reduction in value of the security.

(b) This regulation does not preclude considerations employed in normal and prudent transactions, provided that factors do not in any way relate to race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

D. Discrimination in the Terms and Conditions for Making Available Loans or Other Financial Assistance.

(1) It shall be unlawful for a person engaged in the making of loans or in the provision of other financial assistance relating to the purchase, construction, improvement, repair, or maintenance of dwellings or which are secured by residential real estate to impose different terms or conditions for the availability of loans or other financial assistance because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(2) Unlawful conduct under this section includes, but is not limited to:

(a) Using different policies, practices, or procedures in evaluating or in determining creditworthiness of a person in connection with the provision of a loan or other financial assistance which is secured by residential real estate because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation; or

(b) Determining the type of loan or other financial assistance to be provided with respect to a dwelling, fixing the amount, interest rate, duration, other terms for a loan or other financial assistance for a dwelling, or which is secured by residential real estate, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

E. Unlawful Practices-Selling, Brokering, or Appraising of Residential Real Property.

(1) It shall be unlawful for a person whose business includes engaging in the selling, brokering, or appraising of residential real property to discriminate against a person in making available the services, or in the performance of the services, because of race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(2) Appraisal.

(a) For the purpose of this section, the term "appraisal" means an estimate or opinion of the value of a specified residential real property made in a business context in connection with the sale, rental, financing, or refinancing of a dwelling or in connection with any activity that otherwise affects the availability of a residential real estate related transaction, whether the appraisal is oral or written, or transmitted formally or informally.

(b) The appraisal includes all written comments and other documents submitted as support for the estimate or opinion of value.

(3) Nothing in this section prohibits a person engaged in the business of making or furnishing appraisals of residential real property from taking into consideration factors other than race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.

(4) Practices which are unlawful in this section include, but are not limited to, using an appraisal of residential real property in connection with the sale, rental, or financing of any dwelling when the person knows or reasonably should know that the appraisal improperly takes into consideration race, color, religion, sex, disability, familial status, marital status, national origin, or sexual orientation.