Race for Profit: How Banks and the Real Estate Industry

Race for Profit: How Banks and the Real Estate Industry Undermined Black Homeownership (Justice, Power, and Politics)

LONGLISTED FOR THE 2019 NATIONAL BOOK AWARD

By the late 1960s and early 1970s, reeling from a wave of urban uprisings, politicians finally worked to end the practice of redlining. Reasoning that the turbulence could be calmed by turning Black city-dwellers into homeowners, they passed the Housing and Urban Development Act of 1968, and set about establishing policies to induce mortgage lenders and the real estate industry to treat Black homebuyers equally. The disaster that ensued revealed that racist exclusion had not been eradicated, but rather transmuted into a new phenomenon ofÂ predatory inclusion.
Â
Race for ProfitÂ uncovers how exploitative real estate practices continued well after housing discrimination was banned. The same racist structures and individuals remained intact after redlining's end, and close relationships between regulators and the industry created incentives to ignore improprieties.Â Meanwhile, new policies meant to encourage low-income homeownership created new methods to exploit Black homeowners. The federal government guaranteed urban mortgages in an attempt to overcome resistance to lending to Black buyers â€“ as if unprofitability, rather than racism, was the cause of housing segregation. Bankers, investors, and real estate agents took advantage of the perverse incentives, targeting the Black women most likely to fail to keep up their home payments and slip into foreclosure, multiplying their profits. As a result, by the end of the 1970s, the nation's first programs to encourage Black homeownership ended with tens of thousands of foreclosures in Black communities across the country. The push to uplift Black homeownership had descended into a goldmine for realtors and mortgage lenders, and a ready-made cudgel for the champions of deregulation to wield against government intervention of any kind.
Â
Narrating the story of a sea-change in housing policy and its dire impact on African Americans,Â Race for ProfitÂ reveals how the urban core was transformed into a new frontier of cynical extraction.
Country USA
Brand University of North Carolina Press
Manufacturer The University of North Carolina Press
Binding Hardcover
ItemPartNumber 9781469663883
UnitCount 1
EANs 9781469653662
ReleaseDate 0000-00-00

Country	USA
Brand	University of North Carolina Press
Manufacturer	The University of North Carolina Press
Binding	Hardcover
ItemPartNumber	9781469663883
UnitCount	1
EANs	9781469653662
ReleaseDate	0000-00-00

Race for Profit: How Banks and the Real Estate Industry Undermined Black Homeownership (Justice, Power, and Politics)

Customers who purchased this also purchased....