February Fair Housing Article

Fair housing compliance isn’t just about avoiding blatant discrimination. Many violations happen unintentionally—through everyday habits, outdated practices, or even well-meaning attempts to “help”. The Fair Housing Act (FHA) protects people from discrimination based on race, color, national origin, religion, sex, familial status, and disability. It’s essential that real estate professionals consider how their words or actions affect these protected classes and take the necessary precautions to avoid fair housing violations.

Highlighted below are a few areas that can cause unintentional trouble: advertising, steering, and screening. Each one seems harmless on the surface, but the consequences can be serious.

Advertising

The words used in ads—online, on flyers, or even in social media posts—can unintentionally signal preference for or against certain groups. The law doesn’t require intent to discriminate; the effect of the language is what matters. Some problematic phrases commonly used include, but are not limited to:

• “Perfect for singles or young professionals”- suggests families with children aren’t welcome.
• “Quiet Christian neighborhood”- implies a religious preference.
• “No kids” or “Adults only”- directly violates protections for families with children.
• “Ideal for women” or “female preferred.” Unless it’s a shared living situation with a common bathroom, this may be discriminatory.
• “English speakers only”- can be considered national origin discrimination.

Even subtle wording can discourage protected groups from applying. Fair housing enforcement agencies often review ads for these cues, and complaints can arise simply from the language used. Good advertising practices focus on the property and highlight or describe its features, amenities, and policies in a neutral manner.

Steering

Steering is the practice of intentionally or unintentionally guiding people toward or away from certain units, buildings, or neighborhoods based on protected characteristics. Some problematic practices commonly used include, but are not limited to:

• telling people they might feel more comfortable in a different neighborhood,
• directing people toward or away from certain neighborhoods or buildings based on protected characteristics, and/or
• providing tours of certain properties only to specific groups, or withholding options from others based on protected characteristics.

Even if you believe you’re being helpful, making assumptions may limit a person’s choices and violate fair housing laws. You should present all available properties that meet the needs of the buyer/tenant, communicating information neutrally.

Screening

Screening is most commonly used in the property management space and is the process landlords and property managers use to evaluate rental applicants before offering a lease. Some best practices to implement in your tenant screening process include, but are not limited to:

• create a written policy, which is reviewed and updated regularly, that is uniformly applied,
• treat every applicant the same from start to finish; consistency is your best protection,
• stick to the facts, not personal impressions, or opinions,
• always be neutral,
• document everything ,
• conduct regular staff training, and
• when in doubt, seek legal counsel.

Tech Corner

Your online presence is often the first impression you make before a phone call or in-person meeting. Protecting your digital footprint isn’t just about privacy; it’s about professionalism, trust, and consumer confidence. Here are a few key strategies to help you manage your online reputation while maintaining compliance and credibility.

1. Vet Your Social Media

Take time to review all your social media profiles, including posts from years ago. Tastes, humor, and personal opinions change over time, and something you shared years back could now send the wrong message to potential clients.

Ask yourself:

• Does this post reflect the professional I am today?
• Could this be misinterpreted by clients or the public?

If the answer is no, or if you’re unsure, consider deleting, archiving, or adjusting your privacy settings.

2. Keep Business and Personal Separate

Using a business account for personal use (or vice versa) can blur the lines between your personal life and professional responsibilities. This crossover can lead to compliance challenges and unwanted visibility into your private activities.
Best practice:

• Maintain separate accounts for business and personal use.
• Use your business account strictly for real estate content and client communications.
• Limit who can post tagged content, photos, or comments that appear on your business page.

3. Search Yourself, What Do Others See?

Here’s a simple but powerful habit: Google your name regularly.
When you type your name into a search engine:

• What appears on the first page?
• Are your profiles professional and consistent?
• Do the images and public posts represent the agent you want clients to see?

If these search results don’t align with the reputation you want to build, take action. Update your profiles, remove outdated content, and use titles, photos, and bios that reflect your current professional brand.

4. Think Before You Post

Every comment, photo, or share contributes to your digital footprint. Before posting anything online:

• ask whether the content supports your professional image,
• consider how it might be interpreted by clients, prospects, or colleagues, and
• remember, even deleted content can sometimes be archived or screenshotted.

Importantly, Rule 58A .0120(d) prohibits a broker from conducting brokerage activities or promoting their status as a real estate broker in any manner that discriminates based on race, color, religion, national origin, sex, familial status, or disability. Seemingly casual posts, memes, or comments, especially when tied to your professional identity, can unintentionally raise fair housing concerns.

Regulatory Affairs

Stick Built vs. Modular and Manufactured Homes vs. Personal Property: What’s the Difference?

A stick-built or sometimes called a site-built home is constructed piece-by-piece on the land where it will stand permanently.  This type of construction requires a general contractor to oversee the building process. It uses wood framing or wood lumber for the structure. The foundation is built first, then framing, walls, roof and finishes respectively.  This is the most common and traditional method for building a home. The benefit of constructing a stick-built home is that a homeowner can personalize every aspect and can monitor the construction. In addition, the buyer can more easily secure conventional, FHA, VA or USDA financing.

Modular home construction is gaining popularity, so it is important to understand what it is. According to the International Association of Certified Home Inspectors, stick-built homes are not necessarily better than modular homes, despite the stigma sometimes associated with their assembly-line origin. 

Modular homes are residences constructed entirely in factories and transported to their permanent site on flatbed trucks. They are built under controlled conditions and must meet strict quality control requirements before they are delivered. Weather conditions typically do not cause delays in construction and therefore, modular homes may be built more quickly than stick-built homes. They arrive in segments and are assembled, using cranes, into homes that are almost indistinguishable from stick-built. Like stick-built homes, modular homes can be easy to finance  once they are on a permanent foundation. However, there may be some lenders who choose not to finance modular homes.

A manufactured home, sometimes referred to as a mobile home or trailer, starts out as personal property. Manufactured homes are also constructed in factories and are formed atop a metal chassis with its own wheels. They are then towed and delivered by a truck to their home site. These homes normally only abide by Federal HUD building codes rather than local building code and aren’t considered a permanent structure. Indeed, manufactured homes typically aren’t considered real property and are titled as personal property the same way a car or boat would be titled. They are less expensive than modular homes and can be moved in the future.

However, manufactured homes can become real property by permanently affixing them to the land and filing specific paperwork with the North Carolina Division of Motor Vehicles. When listing a manufactured home, it is vital that a broker asks questions of the seller and reviews the tax card to determine if the home has become real property.

2026 Spring Educators Conference

Are you an approved instructor, education director, or certified education provider with the Commission? Ready to elevate your real estate education career and chart a course toward new professional horizons?

Fasten your seatbelt and join us at the highly anticipated Educator’s Conference—your direct flight to your education destination, where proven strategies, timely insights, and professional excellence come together for a journey filled with success in real estate education. On this one-day journey, you will:

-gain clarity on course audits and compliance expectations,

-learn about current Prelicensing syllabus and exam updates,

-explore practical strategies to enhance student engagement,

-discover ways to use technology to enhance instruction and streamline the learning experience, and

-network with fellow education professionals.

This is your chance to exchange best practices, and arrive energized and inspired to transform the classroom experience. Clear your calendar for April 2, prepare for departure, and get ready for a first-class professional experience. You can register for the conference on the Commission’s website here.

The promo video (NCREC Spring Educators Video) can be found here:

Reminder: Complete Your CE

Video link: https://youtu.be/kg1gVmN3e4s

Script: Please complete your 8-hour continuing education requirement today. If you complete your courses now, it will help you avoid last minute stress and possible scheduling issues. Most importantly, you will have the most current information on License Law and Commission rules.

To keep your license active, you will need to complete your CE by June 10^th  and renew by June 30^th . If you miss these deadlines, your license will become inactive or expired on July 1^st and you will not be able to practice brokerage activity. The beginning of the year is an ideal time to complete your continuing education.

Reminder: Entity Compliance

When was the last time you verified that your business is in good standing with the North Carolina Secretary of State? Is your real estate firm or education provider entity truly authorized to operate today?

The Commission would like to remind licensed real estate firms and certified education providers that it is very important to keep their business entities active and in good standing with the North Carolina Secretary of State (NCSOS). This is not just a paperwork requirement—it is the law.

Annual Requirements with the NCSOS

All businesses registered with the NCSOS, including corporations, LLCs, and limited partnerships, must meet yearly requirements to stay active. This usually includes filing an annual report and paying required fees by the deadline. The exact requirements may differ depending on the type of business. The Secretary of State’s website explains these obligations in more detail for each type of entity.

What Happens If You Do Not Comply

If a business does not meet these requirements, the NCSOS may dissolve, revoke, or suspend the entity. When this happens, the business is no longer allowed to operate. This means it cannot conduct real estate transactions or offer courses as a certified education provider.

The Commission regularly checks the status of licensed firms and certified education providers with the NCSOS. If your entity is not in good standing, the Commission will require you to fix the issue right away. Even if your firm license or education provider certification is active with the Commission, you cannot legally do business through an entity that is not in good standing with the Secretary of State. Your entity must be reinstated before business can continue. Failure to do so may lead to the cancellation of your firm license or education provider certification.

Beyond Commission action, operating through a dissolved or revoked entity can create serious legal and financial risks. An inactive entity cannot enter into valid contracts, which may put real estate transactions and client agreements at risk. In addition, the legal protections of the business entity may no longer apply, meaning brokers could become personally responsible for debts, penalties, or legal claims.

How to Avoid Business Disruptions

Staying compliant is straightforward. File your annual reports, pay required fees on time, and address any issues as soon as they arise. If your entity becomes inactive, act quickly to reinstate it. The NCSOS website offers an online system to check your status and submit required filings.

Failing to maintain your entity’s status can disrupt your business and lead to serious legal and financial consequences. For more information about annual requirements, visit the North Carolina Secretary of State’s website at www.sosnc.gov.

Nominations Are Open for the Larry A. Outlaw Excellence in Education Award

NCREC is seeking nominations for the Larry A. Outlaw Excellence in Education Award. Every year at the annual Spring Educators Conference the Commission announces the award recipient. This year’s conference is scheduled for April 2, 2026, at the McKimmon Center in Raleigh.

The Commission established the Larry A. Outlaw Excellence in Education Award in 2016 to honor the late former Director of the Education and Licensing Division of the North Carolina Real Estate Commission. Larry A. Outlaw, both an attorney and licensed real estate instructor, served as Director of the Education and Licensing Division for 35 years, from its creation in January 1979 until his retirement February 1, 2014.

The recipient of this award will be a current NC Commission-approved instructor who has demonstrated excellence in real estate education and/or embodies and exemplifies an ongoing contribution to the profession that would honor the award’s eponym. All nominees should demonstrate respect for the award by understanding its purpose, value and prestige. Nominees should act in a way that aligns with the award’s intended meaning, showing appreciation for the recognition and performing in a manner that upholds the award’s reputation.

The Commission is accepting applications from January 22, 2026, through February 20, 2026. If you know of an outstanding North Carolina instructor, please complete the nomination form and submit it via email to Len Elder, Director of Education and Licensing, at len@ncrec.gov.

Nominations MUST be submitted on or before February 20, 2026. Also, If you have any questions please direct them to Len Elder, Director of Education and Licensing, at len@ncrec.gov.

Executive Director Miriam Baer to Retire from the NC Real Estate Commission

The Chair of the North Carolina Real Estate Commission, Bill Aceto, announces the retirement of Executive Director Miriam Baer from the Commission, effective June 30, 2026. The Commission expresses its gratitude to Ms. Baer for her leadership and her dedication to public service.

The Commission has implemented its succession plan to search for a new Executive Director. As part of that plan, the Commission is seeking proposals from an executive search firm.

Baer received her law degree from the UNC School of Law in 1984. She joined the Commission staff in 1987 and served for many years as legal counsel. She was named the Executive Director in April 2010. As the Commission’s Executive Director, Baer oversees the Commission’s licensing, education, and regulatory functions.

Baer has been an active member of the Association of Real Estate License Law Officials throughout her career and served as its 2016 president. While working in the Commission’s legal division, she served on many committees of the NC REALTORS and NC Bar Association’s Real Property Section relating to real estate purchase agreements, agency agreements, and other contracts and disclosures.

Throughout her tenure, she has overseen the modernization of the Commission’s processes with technology to gain efficiency. She has also increased the Commission’s outreach to licensees, consumers, and people interested in entering the real estate profession.

Commission Presentations

January 2026 Presentations

*These presentations are subject to change due to the availability of Commission members and/or staff.*

Minerva Mims, Fair Housing and Community Relations Officer, spoke at HPW Rentals on January 9^th.

Charlie Moody, Deputy Legal Counsel, spoke at Berkshire Hathaway HomeService Prime Properties on January13^th.

Sarah Dixon, Associate Legal Counsel II, spoke at OWN Real Estate on January16^th.

Dee Bigelow, Information Officer, spoke at Acorn + Oak Property Management on January 20^th.

Bill Aceto, Commission Chair, Skip Alston, Commission Vice Chair, and Miriam Baer, Executive Director, spoke at the NC REALTORS® Leadership Meetings on January 29^th.

Miriam Baer, Executive Director, spoke at the Fayetteville Real Estate School on January 30^th.

February 2026 Presentations

*These presentations are subject to change due to the availability of Commission members and/or staff.*

Bruce Rinne, Information Officer, will speak at Real Broker LLC on February 4^th.

Jean Hobbs, Auditor/Investigator, will speak at Coldwell Banker HPW Midtown Officer on February 6^th.

Beau Minnick, Consumer Protection Officer, will speak at True North Realty on February 11^th.

Miriam Baer, Executive Director, will speak at Raleigh Regional Association of REALTORS® on February 19^th.

Jean Hobbs, Auditor/Investigator, and Brian Heath, Consumer Protection Officer, will speak at Triangle Chapter and Charlotte Chapter of NARPM on February 24^th and 25^th.

Diana Jasany, Communications Officer, will speak at Coldwell Banker Howard Perry and Walston on February 26^th.

Tiffany Ross, Consumer Protection Officer, will speak at Wilson Community College on February 26^th.

Disciplinary Actions

TAKIA COUSAR (ROCKY MOUNT)- By Consent, the Commission reprimanded Cousar effective November 21, 2025. The Commission found that Cousar had an ownership interest in and was the listing agent of the subject property. Cousar claimed she made several repairs to the subject property but failed to seek a permit. Cousar failed to provide documentation for many of the repairs or updates to the subject property. Shortly after closing on the subject property, the buyer had sewer intrusion coming from the shower in the bathroom downstairs.

SANDRA DALEY (MURPHY)- By Consent, the Commission suspended the broker license of Daley for a period of 12 months, effective January 1, 2026. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that Daley listed and advertised a property as “unrestricted.” After later discovering that the property was in fact subject to restrictions, Daley failed to properly clarify those limitations and instead revised the advertisement to describe the property as “lightly restricted.” Daley also misrepresented to the buyer’s agent that additions could be made to the property when such additions would have violated the existing restrictions. Additionally, Daley misrepresented the living area square footage in the advertisement by relying on prior tax records rather than independently verifying the information. Daley inaccurately included the unfinished basement in the reported living area, even though it lacked a permanent heat source. Daley further misrepresented that the property had “central air” when it did not. Overall, Daley failed to take reasonable steps to verify the facts represented about the property and misrepresented material facts in both the advertisement and statements made to the buyer’s agent.

ANTHONY DIGIOLA (CORNELIUS)- By Consent, the Commission reprimanded Digiola effective February 10, 2026.  The Commission found that Digiola was contacted by an individual who wanted Digiola to act as listing agent for vacant land they purported to own. Digiola listed the property but failed to take adequate steps to verify the identity of the caller other than checking a phone number on an app. The fraudulent transaction was only discovered after the closing attorney mailed a check to the actual owner’s address after a failed wire transfer. The buyer lost the due diligence fee paid as well as other costs paid in the transaction. Digiola refunded his full commission in the transaction.

JENNIFER DRIVER (FRANKLINTON)- The Commission accepted the voluntary surrender of the real estate license of Driver, effective January 21, 2026, with no right to reapply for five years. The Commission dismissed without prejudice allegations that Driver violated provisions of the Real Estate License Law and Commission Rules. Driver neither admitted nor denied misconduct.

KITTY GIESE (HUNTERSVILLE)- The Commission accepted the permanent voluntary surrender of the real estate license of Giese, effective January 21, 2026. The Commission dismissed without prejudice allegations that Giese violated provisions of the Real Estate License Law and Commission Rules. Giese neither admitted nor denied misconduct.

RICHARD GOLDSMITH (CHARLOTTE)- By Consent, the Commission suspended the broker license of Goldsmith for a period of 9 months, effective February 9, 2026. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that Goldsmith failed to renew his broker license and failed to complete all required continuing education hours by June 30, 2025, and his broker’s license expired. Goldsmith paid the reinstatement fee, and his license was reinstated on inactive status on July 10, 2025. After Goldsmith completed all outstanding continuing education requirements, he regained active status on August 5, 2025. Goldsmith conducted real estate brokerage activities including entering into two listing agreements while his license was expired. 

SHERRY HOWELL (GREENVILLE)- By Consent, the Commission reprimanded Howell effective January 21, 2026.  The Commission found that Howell served as the buyer agent in the subject transaction. The listing for the property included a bonus room in the heated square footage. After an offer was made by Howell’s buyer-clients, she learned that the bonus room was not heated. Howell disclosed this information to her buyer-clients but failed to reasonably advise her buyer-clients of the potential impact of the decrease in heated square footage.

THOMAS WHITLEY (WILSON)- By Consent, the Commission reprimanded Whitley, effective January 21, 2026.  The Commission found that Whitley was the broker-in-charge of a provisional broker who was acting as the listing agent in the subject transaction. Whitley was aware that the property had structural damage and discussed with the provisional broker the need to disclose this information.  Whitley later discovered that the provisional broker failed to disclose the material fact prior to an offer being made. Whitley failed to ensure that the provisional broker fulfilled the disclosure requirement.