What fair housing rules apply to tenant screening?

Fair Housing Rules for Tenant Screening in Illinois

When screening tenants in Illinois, landlords must adhere to both federal and state fair housing laws to ensure that their tenant selection process is lawful, fair, and non-discriminatory. Understanding these rules is crucial not only to avoid legal penalties but also to promote equitable access to housing opportunities. This guide provides an overview of fair housing requirements that apply specifically to tenant screening in Illinois.

Overview of Applicable Laws

Federal Fair Housing Act (FHA)

The Fair Housing Act prohibits discrimination in housing practices based on race, color, national origin, religion, sex, familial status, or disability. This federal law sets the baseline standards for tenant screening and applies universally across Illinois.

Illinois Human Rights Act (IHRA)

In addition to the FHA, Illinois enforces the Illinois Human Rights Act, which mirrors and expands upon federal protections. The IHRA prohibits discrimination based on the categories covered by the FHA and also includes additional protected classes such as:

• Age
• Marital status
• Military status
• Sexual orientation
• Gender identity
• Order of protection status

Landlords in Illinois must comply with both these statutes when conducting tenant screening.

Key Fair Housing Rules for Tenant Screening in Illinois

Prohibited Practices During Tenant Screening

Landlords must avoid any tenant screening criteria or practices that directly or indirectly discriminate against protected classes. This includes:

• Refusing to rent or imposing different rental terms to applicants based on their protected status.
• Using questions or criteria that could discourage or exclude applicants from protected groups. For example, asking about a tenant’s religion or sexual orientation is impermissible.
• Applying screening criteria inconsistently—all applicants must be subjected to the same standards.
• Rejecting applicants solely due to their source of income, such as housing vouchers, unless there is a legitimate business reason, and Illinois law generally prohibits discrimination based on lawful source of income as well.

Considerations for Criminal Background Checks

Illinois law places specific limitations on the use of criminal records in tenant screening:

• Under the Illinois Human Rights Act and guidance from the Illinois Department of Human Rights, landlords cannot automatically reject applicants based on arrests that did not lead to conviction or sealed/expunged records.
• Screening policies should consider the nature of the criminal offense, the time elapsed since conviction, and whether the conviction is directly related to the tenancy.
• The Illinois Human Rights Act and recent amendments emphasize individualized assessments to prevent disparate impact on protected classes.

Credit and Income Screening

While landlords have the right to verify tenant creditworthiness and income, screening must be consistent and applied uniformly:

• Avoid disparate impact by ensuring credit criteria do not disproportionately exclude protected classes without a justified business reason.
• Treat all tenants fairly when verifying income sources and amounts.
• Illinois law also protects tenants from discrimination based on housing vouchers or public assistance as income sources.

Best Practices for Compliance in Illinois

Develop Clear, Written Screening Policies

• Establish and document tenant screening criteria in advance.
• Apply all criteria equally to every applicant without exception.
• Ensure criteria are job-related to tenant suitability and do not have a discriminatory effect.

Train Staff and Agents

• Educate all personnel involved in tenant screening about the Illinois fair housing laws.
• Emphasize the importance of consistent and impartial application of screening policies.

Use Standardized Screening Tools

• Utilize uniform rental application forms that exclude prohibited questions.
• Choose tenant screening services familiar with Illinois fair housing requirements.

Perform Individualized Assessments

• When a potentially disqualifying factor arises, especially regarding criminal records, consider the applicant’s overall circumstances rather than applying automatic exclusions.
• Document reasons and decisions thoroughly to defend against claims of discrimination.

Accommodate Disability-Related Requests

• Make reasonable accommodations in screening practices for applicants with disabilities, such as allowing alternative forms of income verification or waiving certain screening fees if necessary.

Conclusion

Tenant screening in Illinois must be conducted with careful attention to fair housing laws. The combined protections of the federal Fair Housing Act and the Illinois Human Rights Act require landlords to implement non-discriminatory screening criteria, avoid unlawful questions or assumptions, and make individualized, fair assessments of applicants. By adopting clear policies, educating staff, and using consistent procedures, landlords can reduce legal risks and uphold equal housing opportunities for all prospective tenants in Illinois.