Protected Classes Under Federal and Texas Law
The Fair Housing Act prohibits discrimination based on race, color, religion, sex, national origin, disability, and familial status (having children under 18). Texas law mirrors these protections and adds sexual orientation and gender identity as protected classes under the Texas Workforce Commission's authority. Additionally, some Texas cities (Austin, Dallas) have local ordinances prohibiting discrimination based on source of income (Section 8, housing vouchers).
This broad protection applies at every stage: advertising the property, showing it, screening tenants, setting rental terms, managing the lease, and collecting rent. You cannot use selective advertising, show the property only to certain races, set different rental terms based on protected class status, or refuse to accommodate disabilities. Even unintentional discrimination violates fair housing law, so understanding and documenting compliant practices is essential.
Legal Tenant Screening Criteria
You can screen tenants based on objective, consistently applied criteria: credit score, income level, employment history, rental history, and criminal background. However, these criteria must be applied uniformly—if you accept one applicant with a bankruptcy, you cannot reject another with identical circumstances. Criminal background screening is permitted, but you must consider mitigating circumstances, the nature of the crime, and the time elapsed. Blanket policies like 'no criminal history ever' have been found to have disparate impact on protected classes and may violate fair housing law.
Be transparent about your screening criteria in writing before accepting applications. State your minimum credit score, required income-to-rent ratio, and what criminal history disqualifies an applicant. This consistency demonstrates good faith and protects you if a rejected applicant alleges discrimination. Document your reasons for accepting or rejecting each applicant in writing—'Bob was rejected: credit score 520, below 620 minimum'—not vague observations.
Disability Accommodations and Service Animals
A major source of fair housing violations is mishandling disability-related requests. If a tenant or prospective tenant requests an accommodation related to a disability—whether physical, mental, or emotional—you must engage in the interactive process. This means listening to the request, asking clarifying questions, and making a determination about reasonable accommodation without requiring excessive documentation.
Service animals (dogs trained to perform tasks for people with disabilities) and emotional support animals are treated differently. Service animals are not pets; you cannot charge pet fees or deposits for them, and you cannot require certification. Emotional support animals must be reasonably accommodated under fair housing law even if your lease says 'no pets.' You can request a letter from a healthcare provider explaining the need, but you cannot demand medical records or diagnoses. Refusing to accommodate a service or support animal is a serious violation.
Documentation and Compliance Best Practices
Document everything to demonstrate fair housing compliance. Keep applications from all applicants (including rejected ones) with your written reasons for approval or rejection. Train yourself and any property management staff on fair housing law—free resources are available from HUD (U.S. Department of Housing and Urban Development). Avoid subjective language in advertisements; focus on objective property features rather than lifestyle descriptors that might hint at preferred demographics.
Use consistent lease forms and rental agreements for all tenants. Avoid making exceptions or side deals that might appear discriminatory. If a complaint is filed with the Texas Commission on Human Rights (TCHR) or HUD, your documentation is your defense. Roddy Real Estate Group recommends having an attorney review your tenant screening criteria and lease language annually to ensure compliance. Fair housing violations can result in civil penalties up to $16,000 for a first offense, plus attorney's fees and potential damages to the tenant—prevention is far cheaper than litigation.