Source of income discrimination describes when landlords refuse to rent to tenants using housing vouchers or other government assistance.
[7] State laws banning source of income discrimination vary widely with some including protections for tenants using section 8 housing vouchers and some not.
[9] 23 states, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Iowa, Maine, Maryland, Massachusetts, Michigan, Minnesota*, New Jersey, New York, North Dakota, Oklahoma*, Oregon, Rhode Island, Utah, Vermont, Virginia, Washington, and Wisconsin*, have statewide policies banning source of income discrimination.
[10] Indiana, Texas, Idaho, Iowa, and Kentucky preempt the passage of source of income discrimination laws; however, city ordinances may differ.
The researchers found that in areas where people with vouchers are considered a protected class, the denial rates are significantly lower.
[15] In addition, while the refusal to accept the vouchers appears racially neutral on its face, many housing advocates contend that the acceptability and legality of Section 8 discrimination enable landlords to use it as a proxy for other legally prohibited kinds of discrimination, such as that based on race, ethnicity, national origin, gender, family status, or disability.
Congress has recognized that refusing to rent to families with children violated the FHA, and it should extend that protection to people who use vouchers.