BLACK COUPLE WINS RACE DISCRIMINATION LAWSUIT OVER HIGHER HOME APPRAISAL FROM REAL ESTATE COMPANY

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Source: State Point the estimated value ranged between $995,000—or $455,000. It led to the couple’s suspicious because their home’s appraisal in 2019 was significantly lower.

By d-mars.com

lack couple in Marin City, California settled a dispute with a real estate company after they were given a higher estimate on their home, per Black Enterprise. Tenisha Tate-Austin and her husband, Paul Austin, filed a racial discrimination lawsuit in 2021 against appraiser Janette Miller and Miller and Perotti Real Estate Appraisals in San Rafael. The lawsuit also included a Utah appraisal management firm, AMC Links LLC.

FHAN’s executive director Caroline Peattie said the settlement was based on the uncertainties and stressors the couple endured saying, “Obviously we felt we had a strong case or else we wouldn’t have pursued it in the first place,” Peattie said. “Filing a lawsuit on the strength of the evidence is one thing and how a judge will rule is a separate question. You’re never assured of a particular outcome. I think everybody involved with the case was ready to move on.” Tenisha and Paul looked to refinance their home in 2020 in preparation for home renovations. When AMC Links appraised their home at the request of their broker,

The Austin’s eventually asked for a second appraisal but with a twist. Instead of requesting it themselves, they asked one of their white friends to do it on their behalf. There was no evidence that a Black family occupied the home. Therefore, the white friend received a higher value at a whopping $1.48 million.

“We missed out on a better interest rate because of the unfair appraisal we received,” Tate-Austin said. A confidential settlement was reached with AMC Links, per the Fair Housing Advocates of Norther California. Although the settlement amount was not disclosed, the company claimed they committed no “wrongdoing.”

What You Need To Know

Home appraisers are bound by the Fair Housing Act of 1968 to not discriminate based on race, religion, national origin, or gender. Appraisers can lose their license or even face prison time if they’re found to produce discriminatory appraisals. Title XI of the Financial Institutions Reform, Recovery and Enforcement Act, enacted in 1989, also binds appraisers to a standard of unbiased ethics and performance.

the couple said in a statement.

The Austin’s believe that the defendants gave an undervalued appraisal for their home due to them being Black. However, after they received assistance from the Fair Housing Advocates of Northern California, things took a turn.