Minority borrowing hits 14-year low

Blacks and Hispanics are smaller portion of the market than they were in 2000

TRD New York /
Sep.September 28, 2014 05:00 PM

The share of mortgages lent to minority borrowers has fallen to at least a 14-year low, according to federal data.

Minority borrowers’ share of the mortgage market has been shrinking ever since the collapse of subprime lending, and they continued to lose ground to white borrowers through 2013, according to Bloomberg News.

Minorities tend to have both less savings and lower credit scores than whites, and advocates say that they have been hit hardest by tight-fisted lending policies. And those fair-lending advocates and civil-rights groups are now urging the government to change how creditworthiness is determined to give blacks and Hispanics a better shot at buying a home.

“These numbers are a wake-up call that the housing market is a major driver of the economy and it can’t be a vibrant market when so many new households are excluded from it,” Jim Carr, a former Fannie Mae executive who is now a scholar at the Opportunity Agenda, a New York-based organization that works on racial equity issues, told Bloomber News. [Bloomberg News]Christopher Cameron


Related Articles

arrow_forward_ios
A rendering of 1998 Second Avenue in Harlem and Peter Fine (Credit: GF55 Architects)

Peter Fine inks $70M construction loan for Harlem resi project

Peter Fine inks $70M construction loan for Harlem resi project
(Credit: iStock)

Loan applications to buy homes rise for fifth week

Loan applications to buy homes rise for fifth week
(Credit: iStock)

TRD INSIGHTS: MBA finds 8% of home loans in forbearance

TRD INSIGHTS: MBA finds 8% of home loans in forbearance
(Credit: iStock)

Applications to buy homes rise for fourth week with New York leading the way

Applications to buy homes rise for fourth week with New York leading the way
(Credit: iStock)

TRD Insights: MBA finds 8% of home loans in forbearance

TRD Insights: MBA finds 8% of home loans in forbearance
Colony Capital CEO Tom Barrack (Photo by Michael Kovac/Getty Images)

Tom Barrack’s Colony Capital defaults on $3.2B in loans

Tom Barrack’s Colony Capital defaults on $3.2B in loans
Mortgage Banker Association’s weekly index shows another increase in purchase applications for home loans during the last week of April 2020. (Credit: iStock)

Home-purchase loan requests rise for third straight week

Home-purchase loan requests rise for third straight week
(Credit: iStock)

TRD Insights: US housing market was better prepared for this recession: Report

TRD Insights: US housing market was better prepared for this recession: Report
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...