Mr. Miller bought a parcel of land and built a 20-unit apartment building on it. He borrowed 80% of the construction cost using a trust deed to obtain a conventional loan from a state chartered savings and loan association. The building has been completed and Miller is getting ready to lease the units. He has created an application form for new tenants. One of the questions concerns race, since Miller wants to rent only to Caucasians. Under these circumstances, which of the following is correct:
A: There is no law which prevents an owner from using an application form for prospective tenants which asks questions concerning race;
B: Such a question in the application would be a violation of Part 5, Discrimination in Housing of the Health and Safety Code;
C: If the property were encumbered by a trust deed held by an individual, Miller could ask such a question;
D: If the property were unencumbered, Miller could ask any questions he wanted to.
Answer: B: Such a question in the application would be a violation of Part 5, Discrimination in Housing of the Health and Safety Code;
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