On April 4, 2016, the U.S. Department of Housing and Urban Development ("HUD") issued guidance on its interpretation of how the Fair Housing Act applies to housing providers' policies that ban residents with criminal records. HUD determined that "because of widespread racial and ethnic disparities in the U.S. criminal justice system, criminal history-based restrictions on access to housing are likely disproportionately to burden African Americans and Hispanics," which is a violation of the FHA. HUD held that blanket policies that ban rental properties to individuals with a criminal history is illegal. Any policy that considers criminal history in making rental determinations, must be narrowly tailored to serve the housing provider's substantial and legitimate interest. Denial of housing opportunities based upon a criminal history, will make the housing provider susceptible to lawsuits and penalties.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.