Homeownership levels for blacks reached 42.7% in the third quarter of 2019 (compared with 64.8% for the overall population), a near-record low that has virtually erased all of the gains made since the passage of the Fair Housing ACt in 1968, landmark legislation outlawing housing discrimination, census data show.
“African Americans are already being left out of the housing market and that’s exacerbating levels of inequality in this country,” says Lawrence Yun, chief economist and senior vice president of research at the National Association of Realtors. “There’s a kind of urgency now within the housing community to bring younger African American buyers into real estate.”
Despite a decade of economic growth in the United States, including record low unemployment and higher wages for black workers, millennials of color make up only a small portion of the overall market for real estate, data show.
This cannot be good. Even as other economic figures might be good, owning a home offers a key way for Americans to build wealth over time. Going further, not having a home means being at the whim of landlords, perhaps more instability regarding having housing, and limited access to wealthier communities where a majority of residents own homes. Furthermore, this data suggests not much has changed in 50 years; does this hint that the gap between groups in the United States remains relatively unchanged?
If the next generation of young adults is struggling to purchase homes, that suggests the problem will continue for at least another 10-20 years. If there are politicians serious about fighting inequality, wouldn’t this be a good issue to take up, particularly given the persistent gaps between black and Latino homeownership and white homeownership?