Steering
The illegal practice of directing buyers toward or away from neighborhoods based on a protected class.
Steering is guiding prospective buyers or renters toward or away from particular neighborhoods because of their race, color, religion, national origin, sex, familial status, or disability. It limits housing choice and violates the Fair Housing Act.
Even well-intended steering, such as assuming a family would prefer a certain area, is illegal.
On the exam
Exam trap
Tested in
Real Estate Practice (8% of the exam)
From definition to recall
See this term inside a real exam question.
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- Blockbusting
The illegal practice of inducing owners to sell by suggesting that members of a protected class are moving into the area.
- Redlining
The illegal practice of a lender denying or limiting loans in certain areas based on the neighborhood's racial or ethnic makeup.
- Fair Housing Act
The federal law that prohibits housing discrimination based on race, color, religion, national origin, sex, familial status, and disability.
This definition is Texas real estate exam-prep education, not legal, tax, or professional advice. Verify current rules against the official source before relying on them for a real transaction. Back to the full glossary.