HUD says Realtors can discuss crime and school data, reversing Biden-era stance

Real estate agents may lawfully discuss neighborhood crime rates and school quality with clients without violating the Fair Housing Act’s prohibition on racial steering, the U.S. Department of Housing and Urban Development (HUD) announced April 24.  

The move reverses guidance that’s led major industry players to remove or restrict such information.

New guidance, issued in a letter by HUD’s Office of Fair Housing and Equal Opportunity, directly contradicts years of industry practice during the Biden administration.  

The letter names Realtor.com, Redfin and Trulia as having removed crime data from their platforms, citing concerns of racial bias.

It also accuses the National Association of Realtors (NAR) of imposing a “professional gag order” on its members.

“Contrary to publicly available materials from industry leaders on steering, real estate agents and brokers do not violate the Fair Housing Act merely by discussing with prospective homebuyers or renters the prevalence of crime or the quality of schools in neighborhoods,” HUD assistant secretary Craig Trainor wrote.

The guidance was prompted by President Donald Trump’s recent executive order, “Restoring Equality of Opportunity and Meritocracy,” which Trainor said superseded Biden-era policies.

“Removing crime data does not help Americans make ‘informed decisions’ about where to buy a home. It achieves the opposite effect,” he wrote.

Under the Fair Housing Act, racial steering is defined as “directing prospective homebuyers interested in equivalent properties to different areas according to their race,” the letter stated.

Trainor emphasized that intent is key.

“Statements made without the intent to direct a client based on his race or the prevailing racial characteristics of a neighborhood do not constitute unlawful racial steering,” he wrote.

The letter explicitly warns that state and local fair housing agencies receiving federal funds “should not issue findings of discrimination based on real estate professionals providing school and crime data to customers in an equal and consistent manner.”

Language also cited 2023 advice from NAR telling members they could be “inadvertently steering clients” by answering questions about schools — and that “implicit bias might inadvertently lead to fair housing violations.”

Trainor called those statements “misguided.”

“Industry guidance instructing Realtors not to answer client questions related to crime or schools does a disservice to purchasers, renters, real estate agents and fair housing principles,” he wrote.

HUD is now urging real estate organizations to “revisit ethics training materials” and reconsider statements that perceived to “stifle agent speech.”

NAR did not immediately respond to HousingWire‘s request for comment.