The State Of The Housing For Black America, 2013

The State of the Housing for Black America, 2013

James H. Carr, Katrin B. Anacker, Ines Hernandes

National Association of Real Estate Brokers (NAREB) August 2013

Overview • Introduction • The Current Housing Market and the U.S. Economy • The Foreclosure Crisis and Collapse of the U.S. Economy • Overview of Select Policies in Response to the Foreclosure Crisis • The Rebound of the U.S. Economy and the Housing Market

• A Comprehensive Response to Rebuild the Housing Market and the U.S. Economy • Redesign the Housing Finance System • Ensure Adequate Credit for Rental Housing • Establish a Housing and Community Infrastructure Bank

• The Market Power of the African American Community • Conclusion

The Current Housing Market and the U.S. Economy Estimated 2007 to 2009 Foreclosures of Recent First-Lien Owner-Occupied Mortgage Originations (2005 to 2008), by Borrower Race and Ethnicity Borrower Group Non-Hispanic Whites African Americans Latinos Total

Share of Originations

Completed Foreclosure Rate

Share of Completed Foreclosures

Disparity Ratio

65.9%

4.5%

56.1%

1.00

7.8%

7.9%

11.6%

1.76

11.2%

7.7%

16.2%

1.71

100.00%

5.3%

100.00%

1.18

Source: Bocian et al. (2010)

The Current Housing Market and the U.S. Economy (cont’d)

Source: U.S. Bureau of the Census (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Wolff (2012), modified by authors

The Current Housing Market and the U.S. Economy (cont’d)

Source: Bureau of Labor Statistics (2008, 2009, 2010, 2011, 2012, 2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Economic Policy Institute (2010)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Bureau of Labor Statistics (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Federal Housing Finance Agency (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: National Association of Realtors (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: U.S. Bureau of the Census (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: U.S. Bureau of the Census (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Mortgage Bankers Association (2013)

The Current Housing Market and the U.S. Economy (cont’d)

Source: Mortgage Bankers Association (2013)

The Market Power of the African American Community

Source: U.S. Bureau of the Census (2012)

A Comprehensive Response to Rebuild the Housing Market and the U.S. Economy • Redesign the Housing Finance System • Ensure Adequate Credit for Rental Housing • Establish a Housing and Community Infrastructure Bank