The buyer would pay a down payment and for the rest of the money the buyer and seller would negotiate a seller “carryback” mortgage. It was common for house sellers to be the “bank” for their house buyers. 37% of all outstanding mortgages in 1930.#2 – Individuals (family, friends, individual investors and, especially, house sellers) S&L interest rates were a bit higher and you had to have a long track record of saving with them before they would lend you money to buy a house. 95% partially or fully amortized (no balloon payment at end).40% average down payment (average, so often lower).45% of all outstanding mortgages in 1930.#1 – Savings and Loans (including building and loan associations, and mutual savings banks) Part 1: From Redlining to 1968 Fair Housing Actīefore we dive in, let’s set the stage by looking at what mortgages were like before government mortgage programs. So I researched this stunning anomaly and here’s one man’s conclusion of what happened. If discrimination prevented some blacks from buying houses in the 1950s and 1960s, why didn’t outlawing that discrimination in 1968 lead to more blacks owning houses today? That means, despite widespread, legal housing discrimination in the 1950s and at least part of the 1960s, the number of black families that owned their own houses increased 20% from 1950 to 1970 but, somehow, 50 years after housing discrimination was outlawed, the black homeownership rate is essentially the same today as it was the day the 1968 Fair Housing Act became law. That means the Black homeownership rate skyrocketed from 23% in 1940 to 35% in 1950.) Black Homeownership Paradox Census (Table 27) report, it was 23% in 1940. (Added in June 2020: I finally found the number for 1940. I was even more shocked when I saw that from 1950 to 1970 American blacks were able to increase their homeownership rate from 35% in 1950 to 42% in 1970. The 1970 census found 42% of black households owned their own houses. blacks who own their own houses today is essentially the same as when housing discrimination was outlawed in 1968. Census data that showed that the percentage of U.S. The Act outlawed housing discrimination based on race, color, religion, and national origin.Īs a real estate numbers geek, I was shocked a couple of years ago when I stumbled upon some U.S. You may have seen stories in April about the Fair Housing Act being signed 51 years ago on April 11, 1968. ( Parts of earlier versions of this piece appeared on here and here.
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |