Developer buys homes in wealthy Midwest suburbs to rent to families who want to send their kids to the best schools

[momopi]

Developer buys homes in wealthy Midwest suburbs to rent to families

A Chicago-based real-estate investor behind the Scholastic Capital fund has purchased 250 homes in Midwest zip codes with the best schools to rent out.

www.dailymail.co.uk

Developer buys homes in wealthy Midwest suburbs to rent to families who want to send their kids to the best schools but not pay for a million-dollar mansion​

• A Chicago-based real-estate investor behind the Scholastic Capital fund has purchased 250 homes in Midwest zip codes with the best schools to rent out
• The Midwest's lower costs and high demand for top schools make such an approach viable creating more affordable rental options in upscale areas
• Real-estate brokers are restricted by fair-housing laws from explicitly promoting school districts' educational quality - but rentals are not subject to the same laws

"For now, the fund is entirely focused on the Midwest, should the model perform well there is potential for it to be rolled out in other regions in pricey real estate markets including the New York suburbs and parts of California, Florida, and Texas. "

 

[Liar Loan]

• Real-estate brokers are restricted by fair-housing laws from explicitly promoting school districts' educational quality - but rentals are not subject to the same laws

These guys are going to get sued by housing advocacy groups I believe. You have to use unbiased criteria like ability to pay and credit history when making rental decisions. By explicitly stating their preference for families with children that want the best schools, they've already run afoul of the law by excluding other groups based on their protected characteristics (family status and arguably racial background).

 

[usctrojancpa]

These guys are going to get sued by housing advocacy groups I believe. You have to use unbiased criteria like ability to pay and credit history when making rental decisions. By explicitly stating their preference for families with children that want the best schools, they've already run afoul of the law by excluding other groups based on their protected characteristics (family status and arguably racial background).

Correct, that is a Fair Housing violation.

 

[sgip]

I know "Familial Status" is focused on preventing housing discrimination for those with children, but I'm hard pressed to find if it applies as well to those without children. Any links on the issue would be helpful.