Disclosures in Financing 13

Disclosures Required by California Law

It is federal policy to ensure fair housing by prohibiting discrimination based on race, color, religion, sex, national origin, marital status, age , or physical disabilities in connection with the sale, rental, construction, or financing of housing. Many state laws are passed to supplement federal legislation.

The Holden Act which is formally known as the Housing Financial Discrimination Act of 1977 prohibits the discriminatory practice known as Redlining. Redlining is an illegal lending policy of denying real estate loans on properties in older, changing urban areas. Usually in these urban areas there is a high concentration of large minority populations. Because of alleged higher lending risks, without the proper due consideration being given by the lending institution to the creditworthiness of the individual loan application.