What Is Blockbusting?

The illegal practice of inducing homeowners to sell by representing that certain groups are moving into the neighborhood, thereby causing property values to decline. California Fair Housing law strictly prohibits this discriminatory practice, and violations carry both civil and criminal penalties for licensees.

Blockbusting across 2 exams

Blockbusting appears on the following exams. Each defines it in the context candidates are tested on:

CA Salesperson
The illegal practice of inducing homeowners to sell by representing that certain groups are moving into the neighborhood, thereby causing property values to decline. California Fair Housing law strictly prohibits this discriminatory practice, and violations carry both civil and criminal penalties for licensees.
CA Broker
The prohibited practice of inducing panic selling by suggesting that a protected class is moving into the area. This manipulative tactic violates fair housing law and professional ethics.