Chapter 22: Federal Legislation and Impact to the Real Estate
It is indeed true that the position taken by the federal government on regulating housing and real estate at large is in line with the constitution of the US and the bill of rights. It is the responsibility of the Federal, State and Local governments to regulate the real estate industry and the transactions between the private citizens and the industry places. As such, federal government is justified in regulations such as discriminations and abuse by home owners to prospective buyers or tenants (Massey, 2015). Without the regulations by the federal government, most people might be abused by increased prices beyond the forces of demand and supply by corrupt dealers.
Massey (2015), posit that a classic example of such law is the Fair Housing Act of 1968 which is a law preventing discrimination based on gender, religion, sex, race, or sexual orientation. Such federal government regulation is anchored on the constitution of the US in the 5th amendment, and 14th amendment. These constitutional amendments protect the civil rights and bill of rights since they uphold human dignity and that a person cannot be discriminated based on their aforementioned aspects or any other form of discrimination (Massey, 2015).
As such, it is also appropriate as per congressional acts to protect homeowners from foreclosure. This is because some factors are beyond the home owners under mortgage like the financial crisis of 2008 saw most people lose their jobs and other sources of income. In addition, factors leading to increased source of income or stable jobs are politically related hence the home owners should be protected from bias in case of such unforeseen cases of financial instability to home owners.
Massey, D. S. (2015, June). The Legacy of the 1968 Fair Housing Act. In Sociological Forum (Vol. 30, pp. 571-588).