A practice involving inducing panic selling for financial gain by insinuating that a minority group is moving into the area is called:

A practice involving inducing panic selling for financial gain by insinuating that a minority group is moving into the area is called:

• A. Blockbusting
• B. Redlining
• C. Steering
• D. Puffery

Answer: (A)

Blockbusting is the practice of exploiting fears about a minority group moving into an area to prompt homeowners to sell quickly, often at depressed prices. A practitioner would insinuate that a minority group is arriving, triggering panic selling so they can buy properties cheaply and resell at a profit. This discriminatory tactic targets protected classes and is prohibited by the Fair Housing Act. The other terms describe different discriminatory or legal issues: redlining involves denying or limiting services in certain areas; steering means directing buyers to or away from neighborhoods based on race; puffery is exaggerated marketing talk that isn’t illegal.

Blockbusting is the practice of exploiting fears about a minority group moving into an area to prompt homeowners to sell quickly, often at depressed prices. A practitioner would insinuate that a minority group is arriving, triggering panic selling so they can buy properties cheaply and resell at a profit. This discriminatory tactic targets protected classes and is prohibited by the Fair Housing Act. The other terms describe different discriminatory or legal issues: redlining involves denying or limiting services in certain areas; steering means directing buyers to or away from neighborhoods based on race; puffery is exaggerated marketing talk that isn’t illegal.