Which type of organization is exempt from the federal Fair Housing Act of 1968?

Religious organizations are exempt from certain provisions of the federal Fair Housing Act of 1968. This exemption applies specifically to situations where a religious organization is engaging in the rental or sale of housing that is owned or operated by them, as long as they are giving preference to individuals of their own religion. The rationale behind this exemption is rooted in the protection of religious freedom and the belief that religious groups should have the right to maintain their own communities in alignment with their faith and practices.

Non-profit organizations, government organizations, and educational organizations, although they can play important roles in housing and community services, do not enjoy the same exemptions under the Fair Housing Act. These entities must comply with the Act's provisions prohibiting discrimination based on race, color, religion, sex, familial status, national origin, or disability in housing practices.