S. 2827: Fair Housing Improvement Act of 2025

The Fair Housing Improvement Act of 2025 proposes amendments to the Fair Housing Act. The key changes include prohibiting discrimination in housing based on the following criteria:

Prohibited Discrimination

• Source of Income: This term includes various forms of income that should not be a basis for discrimination against tenants. It specifically mentions:
• Housing vouchers under section 8 of the United States Housing Act.
• Federal, state, or local housing assistance provided to individuals or families.
• Rental assistance or subsidies from non-governmental organizations.
• Homeownership subsidies.
• Income received through social security, supplemental security income, or Railroad Retirement benefits.
• Income from court orders such as spousal or child support.
• Payments from trusts or relatives.
• Any lawful source of income, including savings and investments.
• Veteran Status: This refers to individuals who have served in the Armed Forces.
• Military Status: This encompasses individuals who are current members of the uniformed services.

Amendments to Current Law

The bill introduces specific changes to various sections of the Fair Housing Act to add source of income, veteran status, and military status to the list of protected characteristics. Overall, these amendments aim to ensure that individuals are not denied housing or treated unfairly due to the sources of their income or their military or veteran status.

Clarifications and Provisions

• The bill clarifies that it does not prevent entities from providing services or assistance to those receiving housing assistance.
• It outlines how certification periods for relevant agencies will be handled during the transition to the new regulations.
• It aims to enhance protections against intimidation in fair housing cases related to these newly defined criteria.

Implementation Timeline

The bill provides for certain certification procedures and timelines that agencies will need to follow following the enactment of these amendments.

Potential Impacts

This legislation would direct changes in how landlords, property managers, and related entities handle applications and potential discrimination claims based on the outlined characteristics.

Relevant Companies

• AVB - AvalonBay Communities, Inc. may need to adjust their tenant screening processes to comply with the new regulations regarding source of income and veteran status.
• EQR - Equity Residential could be impacted by needing to revise their rental policies and practices to avoid discrimination based on these new protected classes.
• ESS - Essex Property Trust, Inc. may face changes in their operational procedures regarding tenant applications and leasing agreements to meet the new standards.