What term describes a practice where an agent discourages clients from living in certain areas based on discriminatory factors?

The term that describes the practice where an agent discourages clients from living in certain areas based on discriminatory factors is "steering." Steering occurs when real estate agents guide prospective buyers or renters towards or away from particular neighborhoods based on their race, ethnicity, religion, or other discriminatory factors. This practice is illegal under the Fair Housing Act, which is designed to prevent discrimination in housing.

The essence of steering is its impact on housing choice and the segregation of communities, as it can limit individuals' access to diverse neighborhoods and perpetuate inequalities within the housing market. Understanding this concept is crucial for real estate professionals, as ethical practice in the industry promotes inclusivity and fairness.

The other terms provided each have distinct meanings:

Blockbusting refers to the practice of inducing homeowners to sell their properties at a loss by suggesting that the demographic changes in the neighborhood will negatively impact property values. Redlining is the practice of denying services to residents of certain areas based on the racial or ethnic composition of those areas, often manifesting in the denial of loans or insurance. Discrimination is a broader term that encompasses any unjust treatment based on predetermined characteristics but is not specific to the real estate context in the same way steering is.