The FHA followed HOLC and created a housing standards for the allocation of mortgage insurances or loans. FHA favors suburban development rather than the development of industrial areas. Therefore, inequality emerged in housing sphere. Unlike appraisal system of HOLC, FHA's appraisal system depended on the appraisers who measured the quality of residential areas according to eight categories: relative economic stability, protection from adverse influences, freedom from special hazards, adequacy of civic, social, and commercial centers, adequacy of transportation, sufficiency of utilities and conveniences, level of taxes and special assessments, and appeal. “The appraisal system of FHA allowed personal and agency bias in favor of all-white sub-divisions
