For candidates preparing for their licensing upgrade, understanding anti-discrimination laws is absolutely critical. While you will frequently hear the term "Fair Housing Act" used in general real estate discourse (a term originating from United States federal law), the Ontario equivalent is governed by the Ontario Human Rights Code (OHRC) and enforced in the real estate profession through the Trust in Real Estate Services Act (TRESA). If you are studying for your exams, you must be intimately familiar with how these provincial regulations protect consumers and dictate brokerage policies.

This article breaks down the key fair housing provisions, protected grounds, and broker responsibilities you need to know. For a broader overview of exam topics, be sure to review our Complete Ontario Real Estate Broker Exam Exam Guide.

Understanding "Fair Housing" in Ontario

In Ontario, the right to equal treatment in housing is a fundamental human right. Section 2 of the Ontario Human Rights Code explicitly states that every person has a right to equal treatment with respect to the occupancy of accommodation, without discrimination. For real estate brokers, this applies to selling, buying, leasing, and managing properties.

The Real Estate Council of Ontario (RECO) mandates strict adherence to the OHRC. Under the TRESA Code of Ethics, registrants must treat every person fairly, honestly, and with integrity, and are strictly prohibited from participating in any form of discrimination or harassment.

The 17 Protected Grounds

The OHRC identifies specific "protected grounds." A real estate broker must ensure that neither they, their salespersons, nor their clients discriminate against any party based on these grounds. The protected grounds most relevant to housing include:

  • Race, Colour, and Ethnic Origin: Prohibits discrimination based on physical characteristics or cultural background.
  • Place of Origin, Ancestry, and Citizenship: Protects newcomers to Canada, including permanent residents and refugees.
  • Creed (Religion): Protects individuals' religious beliefs and practices.
  • Sex, Sexual Orientation, Gender Identity, and Gender Expression: Protects individuals from discrimination based on gender or sexual preference.
  • Age: Protects individuals 18 years or older from housing discrimination (with specific exemptions for 65+ seniors' housing).
  • Marital and Family Status: Protects single parents, unmarried couples, and families with children.
  • Disability: Includes physical, mental, and invisible disabilities, as well as reliance on a service animal or wheelchair.
  • Receipt of Public Assistance: (Specific to housing) Protects individuals relying on social assistance, ODSP, or housing subsidies.

HRTO Housing Discrimination Complaints by Ground (%)

Broker Responsibilities and TRESA Compliance

Passing the Ontario Broker Exam requires shifting your mindset from a salesperson to a manager. A Broker of Record or managing broker is not just responsible for their own actions; they are vicariously liable for the actions of the salespersons they supervise.

Establishing Brokerage Policies

Under TRESA, brokers must establish written policies and procedures to ensure compliance with the OHRC. This includes mandatory training for all new agents on how to handle discriminatory requests from clients. If a brokerage engages in property management, these policies must be particularly robust regarding tenant screening. You can learn more about these operational duties in our guide on Ontario broker property management basics.

Refusing Discriminatory Instructions

Registrants have a legal and ethical obligation to reject any client instruction that violates the OHRC. If a seller or landlord insists on discriminatory terms, the broker must explain the law and refuse the instruction. If the client persists, the brokerage must terminate the representation agreement.

Practical Scenarios for the Broker Exam

The Ontario Broker Exam heavily utilizes scenario-based questions to test your application of the OHRC. Review the following practical examples:

Scenario 1: The "Professionals Only" Landlord

The Situation: A landlord hires your brokerage to lease their condo. They instruct your salesperson to write "Seeking young, single professionals only. Must provide employment letter. No ODSP or welfare."

The Broker's Duty: This instruction violates multiple protected grounds: Age ("young"), Marital/Family Status ("single"), and Receipt of Public Assistance ("No ODSP or welfare"). The broker must intervene, instruct the salesperson to educate the landlord on the OHRC, and refuse to market the property under those terms. While landlords can ask for income information, they cannot arbitrarily refuse tenants because their income comes from social assistance.

Scenario 2: The Discriminatory Seller

The Situation: A seller receives two identical offers on their home. They tell your agent they want to accept Offer A because the buyers in Offer B "look like they have too many children and will ruin the neighbourhood."

The Broker's Duty: This is discrimination based on Family Status. The brokerage cannot be party to a transaction where the seller's decision-making process is explicitly based on a protected ground. The agent must advise the seller that their reasoning is illegal. If the seller refuses to consider the offers objectively, the brokerage should withdraw its services.

The Duty to Accommodate

A key provision of the OHRC is the "duty to accommodate" persons with disabilities up to the point of "undue hardship." In a real estate context, this usually applies to landlords and property managers. If a tenant requires a ramp, widened doorways, or an exemption from a "no pets" rule for a certified service animal, the housing provider must accommodate them unless doing so would cause severe financial or health and safety risks.

Brokers managing properties must carefully document any accommodation requests and the steps taken to fulfill them. Similar to how brokers must manage physical property risks—such as those outlined in our article on lead paint disclosure requirements—managing human rights compliance is a critical risk management function for the brokerage.

Frequently Asked Questions (FAQs)

1. Does Ontario have a "Fair Housing Act"?

No. While "Fair Housing Act" is a common term in the US, in Ontario, housing discrimination is governed by the Ontario Human Rights Code (OHRC) and enforced for real estate registrants by RECO under the Trust in Real Estate Services Act (TRESA).

2. Can a landlord refuse a tenant based on a poor credit score?

Yes, a landlord can use credit checks, rental history, and income information to assess a tenant. However, they cannot use a lack of credit history (common among new immigrants or young people) as a proxy to discriminate based on age or place of origin. Furthermore, they cannot refuse a tenant simply because their income comes from public assistance, provided the income is sufficient to cover the rent.

3. Are there any exemptions to the OHRC in housing?

Yes, there are limited exemptions. The most notable is the "shared accommodation" exemption. If a landlord is renting out a room in a home where the landlord or their family also resides, and they share a kitchen or bathroom with the tenant, the OHRC provisions regarding housing discrimination do not apply.

4. What are the penalties for a broker violating the OHRC?

A broker can face severe penalties from two separate bodies. The Human Rights Tribunal of Ontario (HRTO) can order the broker to pay financial damages to the victim. Additionally, RECO can discipline the broker under TRESA, resulting in fines, mandatory education, or the suspension/revocation of their real estate license.

5. Can a condominium corporation enforce a "no pets" rule?

While the Condominium Act allows condo corporations to have declarations restricting pets, these rules are superseded by the OHRC if the animal is a certified service animal required for a disability. A real estate broker must advise clients that service animals must be accommodated, regardless of building bylaws.