Black Homeownership at Crisis Level, CBCF Panel Says

The homeownership rate in the Black community was at nearly 50 percent a dozen years ago. Today, the figure stands at 41.5 percent and could get worse, experts warn.

The topic was discussed for more than two hours Thursday at the Congressional Black Caucus Foundation’s 46th Annual Legislative Conference at the Washington Convention Center in northwest D.C.

“We are at a state of crisis … and the state of crisis is real,” said Nikitra Bailey, executive vice president of the North Carolina-based Center of Responsible Lending. “The state of housing in black America is weak.”

To increase homeownership in the black community, the National Association of Real Estate Brokers (NAREB) has launched an ambitious initiative to secure two million new black homeowners in the next five years.

The organization based in Lanham, Maryland, commissioned a report this year (http://bit.ly/2btEWxY) with graphs, charts and other information to highlight the need for black homeownership.

http://bit.ly/2btEWxY) with graphs, charts and other information to highlight the need for black homeownership.

“Homeownership is the single most important asset for wealth accumulation by the typical American household,” the report states. “Black families attempting to become homeowners have largely been trapped, either in a vicious cycle of predatory mortgage schemes or by an absolute denial of access to home loans.”

The report shows that the average wealth of black families in 1983 was less than $100,000, compared to more than $300,000 for whites. Ten years later, it averaged about $85,000 for blacks and $656,000 for whites.

Some of the immediate housing-market reforms the report recommends, specifically for mortgage companies Fannie Mae and Freddie Mac:

• Require lenders to use the most updated and predictive credit-scoring technologies;

• Both agencies continue to find more effective ways to leverage their distressed loans and foreclosed properties to promote affordable homeownership

• Federal policymakers restructure both agencies.

“We need to change the system,” said Rep. Gregory Meeks (D-New York), who hosted the session. “We need to wreck the car and buy the house.”

Show More

William J. Ford – Washington Informer Staff Writer

I decided I wanted to become a better writer while attending Bowie State University and figured that writing for the school newspaper would help. I’m not sure how much it helped, but I enjoyed it so much I decided to keep on doing it, which I still thoroughly enjoy 20 years later. If I weren’t a journalist, I would coach youth basketball. Actually, I still play basketball, or at least try to play, once a week. My kryptonite is peanut butter. What makes me happy – seeing my son and two godchildren grow up. On the other hand, a bad call made by an official during a football or basketball game makes me throw up my hands and scream. Favorite foods include pancakes and scrambled eggs which I could eat 24-7. The strangest thing that’s ever happened to me, or more accurately the most painful, was when I was hit by a car on Lancaster Avenue in Philadelphia. If I had the power or money to change the world, I’d make sure everyone had three meals a day. And while I don’t have a motto or favorite quote, I continue to laugh which keeps me from driving myself crazy. You can reach me several ways: Twitter @jabariwill, Instagram will_iam.ford2281 or e-mail, wford@washingtoninformer.com

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

By submitting this form, you are consenting to receive marketing emails from: Washington Informer Newspaper, 3117 Martin Luther King Jr. Ave SE, Washington, DC, 20032, http://www.washingtoninformer.com. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Back to top button

My News Matters to me - Washington Informer Donations

Be a Part of The Washington Informer Legacy

A donation of your choice empowers our journalists to continue the work to better inform, educate and empower you through technology and resources that you use.

Click Here Today to Support Black Press and be a part of the Legacy!

Adblock Detected

Please consider supporting us by disabling your ad blocker