Question

You are working with a Black buyer, Tom, and you decide to show him homes in a neighborhood with a high Black population. This illegal act is known as:

Answer 1

Blockbusting is the illegal act of real-estate agents and speculators exploiting white fears by selling homes in all-white neighborhoods to minority families. This practice encourages 'white flight' and perpetuates racial segregation patterns.

Step-by-step explanation:

Blockbusting is the practice of real-estate agents and speculators taking advantage of white fears by announcing their intention to sell a home in an all-white neighborhood to a minority family.

This is done to encourage 'white flight' and allow speculators to purchase homes from panicked whites at prices well below their value. These homes are then sold at a higher price to minority families with limited housing options.

This practice is illegal under the Fair Housing Act of 1968, but it had significant consequences on racial segregation patterns and the phenomenon of 'white flight'.