Post-Pandemic, Homeowners of Color Face Losing Homes
While CA homeowners of color already face many threats to their home, more will risk foreclosure than ever when pandemic-era mortgage relief will run out.
While CA homeowners of color already face many threats to their home, more will risk foreclosure than ever when pandemic-era mortgage relief will run out.
The Community Reinvestment Act was enacted in 1977 as a direct response to redlining, an unethical practice whereby banks and other lending institutions made it extremely difficult, if not impossible, for residents of poor, inner-city communities to borrow money, get a mortgage, take out insurance or access other financial services. Redlining did not take into consideration an individual’s qualifications or creditworthiness.
The OCC hopes stakeholders will carefully review the proposed changes and submit comments so that a final rule can be issued in the first half of 2020.
As the Senate Banking Committee turns its attention to reform the nation’s secondary mortgage market, civil rights leaders recently spoke in a strong and united voice. For these national organizations, the housing finance system must embrace—not abandon—its obligation to provide broad access and affordability in mortgage lending.
As consumers either grow into wealth or fall into poverty, America’s middle class, once the envy of the world, is steadily shrinking.