The Impact of Limiting Applicant Information on Rental Housing Discrimination
Institute Working Paper 61
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Key Findings
- After Minneapolis implemented a renter protection policy, discrimination against African American and Somali American rental housing applicants increased.
- The increase in discrimination was largest for male applicants, units that were 2 or more bedrooms, and for units historically Black neighborhoods.
Policies that reduce information on applicants (e.g., limiting criminal history) have mixed results in the labor market. However, little is known about their impact in the housing market. We submitted fictitious email inquiries to publicly advertised rentals using names manipulated on perceived race and ethnicity before and after a policy that restricted the use of background checks, eviction history, income minimums, and credit history in rental housing applications in Minneapolis. After the policy was implemented, discrimination against African American and Somali American men increased. Triple difference analysis shows that discrimination increased in Minneapolis relative to St. Paul after the policy.
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