Which act is considered illegal in requesting homeowners to sell due to neighborhood changes?

Blockbusting refers to the practice of inducing homeowners to sell their properties under the pretense that the neighborhood is undergoing changes, particularly through the infiltration of different racial or ethnic groups. This tactic capitalizes on fears of declining property values and societal changes, often manipulating the owners into selling at lower prices. The practice is illegal as it promotes racial discrimination and violates fair housing laws by creating panic selling among homeowners.

Understanding the context of blockbusting helps highlight its implications: the goal is often to resell the properties at a profit, frequently to individuals from different demographic backgrounds, leading to further segregation and displacement. Thus, the recognition of blockbusting as illegal underscores the need to maintain equitable housing practices and protect homeowners from exploitation based on neighborhood dynamics.