Short answer: the Fair Housing Act bars anyone whose business includes home loans, loan buying, or selling, brokering or appraising homes from discriminating against you because of race, color, religion, sex, disability (“handicap” in the law), familial status or national origin. That covers whether you can get a loan and its terms. You can file a complaint with HUD within one year of the practice, and a lawsuit has a two-year limit. This page covers federal law only; other rules may apply where you live. It is general information, not legal or financial advice.
What the law covers
It is unlawful for any person or entity whose business includes residential real estate-related transactions to discriminate against any person in making such a transaction available, or in its terms or conditions, because of race, color, religion, sex, handicap, familial status or national origin (42 U.S.C. 3605(a), LII, read October 30, 2026). Those transactions are making or buying loans or giving other financial help to buy, build, improve, repair or maintain a dwelling, or secured by residential real estate, and selling, brokering or appraising residential real property (3605(b)). HUD’s rules repeat this (24 CFR 100.110 and 100.115, eCFR, text up to date as of October 28, 2026, read October 30, 2026).
The protected classes
| Class | What the law says |
|---|---|
| Race, color, religion, sex, national origin | Listed in 3605(a) |
| Handicap (disability) | A physical or mental impairment that substantially limits one or more major life activities, a record of one, or being regarded as having one; current illegal use of or addiction to a controlled substance is not included (42 U.S.C. 3602(h)) |
| Familial status | One or more people under 18 living with a parent, a person with legal custody, or their designee with written permission; it also protects anyone who is pregnant or in the process of getting legal custody of someone under 18 (3602(k)) |
Definitions: 42 U.S.C. 3602 on LII.
Lending practices HUD lists as unlawful
HUD’s rules give examples, and say the list is not complete (24 CFR 100.120(b), 100.125(b), 100.130(b), 100.135(d)). If any of these happens because of a protected class, it is unlawful:
| Practice | Section |
|---|---|
| Not giving you information on loan availability, application requirements or review standards, or giving you information that is inaccurate or different from what others get | 100.120(b)(1) |
| Providing, not providing or discouraging loans in a way that discriminates in denial rates or availability | 100.120(b)(2) |
| Making a loan depend on your response to harassment, or harassment that affects whether you get a loan | 100.120(b)(3)-(4) |
| Using different policies or procedures to judge your creditworthiness | 100.130(b)(1) |
| Setting the loan type, amount, interest rate, cost, length or other terms differently | 100.130(b)(2) |
| Servicing loans in a way that discriminates | 100.130(b)(3) |
| Buying, pooling or packaging loans for homes in some neighborhoods but not others, or differently, based on who lives there | 100.125(b)(1)-(2) |
| Using an appraisal when the user knows or reasonably should know it improperly takes a protected class into account | 100.135(d)(1) |
Appraisers may consider factors other than the protected classes (3605(c); 100.135(c)). For the separate federal rules that bar pressure on appraisers, see appraisal independence rules.
How it overlaps with the Equal Credit Opportunity Act
The Equal Credit Opportunity Act and Regulation B cover all credit, not just home loans. Their list of prohibited bases is race, color, religion, national origin, sex, marital status or age (if you can sign a binding contract), income from a public assistance program, and good faith use of your rights under the Consumer Credit Protection Act (12 CFR 1002.2(z), eCFR). The Fair Housing Act adds disability and familial status for home lending, while the credit law adds marital status, age and public assistance income. A home loan can fall under both. See loan discrimination rights under ECOA.
Deadlines to act
An aggrieved person may file a complaint with HUD not later than one year after an alleged discriminatory housing practice occurred or ended (42 U.S.C. 3610(a)(1)(A)(i), LII); see HUD: report housing discrimination. A lawsuit must be started not later than two years after the practice occurred or ended, or after a breach of a conciliation agreement, whichever is last, and that period does not count time while an administrative proceeding on the complaint was pending (42 U.S.C. 3613(a)(1)(A)-(B), LII). You do not have to file with HUD first to sue (3613(a)(2)).
This example is only for the math, with example dates, and assumes no administrative proceeding was pending.
| Item | Example date |
|---|---|
| Practice ended | March 3, 2027 |
| One year later: HUD complaint deadline | March 3, 2028 |
| Two years later: lawsuit deadline | March 3, 2029 |
For your own deadlines and whether to sue, ask a lawyer; you can look for legal aid through the Legal Services Corporation. You can also submit a complaint at consumerfinance.gov/complaint; see how to file a loan complaint.
Questions to ask the lender
- What are your written application requirements and standards, and can I have a copy?
- Which loan types and rates did you consider for me, and why this one?
- What were the specific reasons for your decision or for these terms?
- Who ordered the appraisal, and how do I ask for a review of it?
Checklist
- Keep every notice, email, Loan Estimate and appraisal you get.
- Write down dates, who you spoke with, and what was said.
- Compare the terms and information you got with what the lender publishes.
- Note the one-year HUD complaint deadline and the two-year lawsuit limit.
- Talk to a lawyer about your own case.
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Sources
- Cornell LII: 42 U.S. Code 3605, Discrimination in residential real estate-related transactions
- Cornell LII: 42 U.S. Code 3602, Definitions (Fair Housing Act)
- eCFR: 24 CFR Part 100, Subpart C, Discrimination in Residential Real Estate-Related Transactions, current text up to date as of October 28, 2026
- eCFR: 12 CFR 1002.2, Definitions (Regulation B), current text up to date as of October 28, 2026
- Cornell LII: 42 U.S. Code 3610, Administrative enforcement; preliminary matters
- Cornell LII: 42 U.S. Code 3613, Enforcement by private persons
- HUD: Report Housing Discrimination
- CFPB: Submit a complaint
- Legal Services Corporation: Find legal aid
Disclosure: Modern Lending Solutions is not a lender, loan broker or agent for any lender or loan broker, and does not make credit decisions. Any compensation we receive is paid by participating lenders, only for advertising services. This guide is general information, not financial or legal advice.