Related video above: Massachusetts real estate market is chilling, but prices remain high Everett Benyard thought he was in sufficient financial position to buy his first home earlier this year. .. He saved money by living with his parents for a while and secured a high-paying job in 2020, but 30-year-old San Diego prisoner competes in one of the hottest real estate markets in the country. The median home price reached $ 860,000 in July, according to the California Real Estate Association. “I went and saw different places …. I went to see something and the next day it was off the market.” Benyard disproportionately valued from a pandemic-fueled housing boom. One of the many black Americans attached. Prior to the pandemic, American black home ownership was slowly but steadily rising. This is a small but important financially bright place against the backdrop of racial inequality. Since then, the pandemic has put a brake on the upward trend, despite the continued rise in white-American home ownership. “Currently, the market is very competitive,” Benyard said. “Prices are very high.” San Diego’s “significant inequality” A recent analysis by the Center for American Progress, a liberal think tank, showed that the rate of black homes in the United States was virtually just over 44% at the end of last year. White American home ownership increased from 73.7% to 74.5% over the same period. “African-American home ownership has grown slower than white households in a pandemic, despite historically low mortgage rates,” the study authors write. “Simply put, black households faced more obstacles to becoming homeowners and staying because they had less money to rely on.” The gap is seen in Benyard’s hometown of San Diego. increase. According to non-profit San Diego Foundation officials, San Diego has been a wealthy tech industry in the past year, as well as many communities known for their desirable weather and relatively affordable prices compared to their big city neighbors. Is full of home buyers. Much more expensive than the national average, it’s a bargain compared to typical San Francisco homes, where Zillow data show that typical home prices rose to over $ 1.5 million in July. This trend has hurt all aspiring first-time homebuyers from the region, nonprofit officials said, but the group said it exacerbated racial wealth inequality in the city. I’m afraid to let you. According to a Redfin survey, 61% of white San Diego households owned their own homes in 2018, compared to only 30% of black households. Peyton told CNN Business. “It’s hard to get into the market if you’re not on the market yet.” Pandemic biased black Americans are overwhelmed by low-wage service sector jobs that have been disproportionately hit by a pandemic furlough. Has been evaluated. Black Americans also tend to have higher student loan debt, lower incomes, and, on average, lower savings than white Americans. White households are on average less wealthy than the average person, and black millennials and General Zers are less likely to rely on their parents to buy their first home. “They are losing jobs faster than whites,” said Christian Weller, one of the authors of the study and a senior researcher in economic policy at the Center for American Progress. I’m losing my job, longer, “Weller added. “They mean less savings and less money for down payments. Things can get out of control very quickly, especially for African-American homeowners.” Everything Today Almost a quarter of homebuyers in the United States are unused US cash buyers. Mortgages favor wealthy Americans, whose current market tends to be white, according to Jessica Lautz, vice president of demographics and behavioral insights at the National Association of Realtors. Between April and July last year, 82% of Americans who bought their homes were white, according to a survey by the National Association of Realtors. Only 9% were Hispanic, 8% were Asian, and 5% were black, Lautz told CNN Business, according to group researchers. “We find that a very large percentage of them are Caucasian individuals.” Support for future homebuyers Benyard, a corrector, recently received a great deal of help in a homebuy search. In July, the San Diego County Cities Alliance, National Civil Rights Group, informed Benyard that it was chosen to receive one of several down payment assistance grants through the group’s new Black Home Buyer Program. bottom. The League Home Purchase Training Course can receive over $ 70,000 in grants for home purchases. San Diego County Cities Alliance COO Al Abdallah says the “first of its kind” program is designed to address the city’s racial wealth gap by supporting it. A black resident who has, but needs help to compete with wealthy buyers. “This will help them cross the finish line,” Abdullah told CN. N business. “You can work as hard as you like, but saving $ 70,000 to put it at home is very difficult, if not impossible.”
Related video above: Massachusetts real estate market is chilling, but prices remain high
Everett Benyard finally thought he was in good financial condition to buy his first home earlier this year. He saved money by living with his parents for a while and secured a well-paid job in 2020.
However, according to the California Real Estate Association, 30-year-old prison officer San Diego struggles to compete in one of the country’s most popular real estate markets, where median home prices reached $ 860,000 in July. Did.
“I was just overpriced and overpriced,” Benyard said in a recent telephone interview. “I went and saw many different places …. I went to see something and the next day it would be off the market.”
Benyard is one of many black Americans who are disproportionately priced Pandemic housing boom..
Prior to the pandemic, black home ownership in the United States was slowly but steadily rising. Against the backdrop of racial inequality, it is a small but important economically bright place. Since then, the pandemic has put a brake on the upward trend, despite the continued rise in white-American home ownership.
“Currently, the market is very competitive,” Benyard said. “The price is very high.”
San Diego’s “significant inequality”
According to a recent analysis by the Center for American Progress, a liberal think tank, black home ownership in the United States was just over 44% at the end of last year, unchanged from the same point in 2019. White American home ownership increased from 73.7% to 74.5% over the same period.
“Despite historically low mortgage rates, African-American home ownership grew slower than white households during the pandemic,” the study authors write. “Simply put, black households faced more obstacles to becoming homeowners and staying homeowners because they had less money to rely on.”
The disparity is on display in Benyard’s hometown of San Diego. According to non-profit San Diego Foundation officials, San Diego has been wealthy tech in the past year, as well as many communities known for their desirable weather and relatively affordable prices compared to their big city neighbors. It is full of industrial homebuyers.
Real estate in San Diego County is much more expensive than the national average, but it’s a bargain when compared to typical San Francisco homes.Typical home prices in San Francisco are typical home prices $ 1.5 million In July.
This trend has hurt all aspiring first-time homebuyers in the area, according to nonprofit officials, who say it exacerbates racial wealth inequality in the city. I’m afraid of that.according to Redfin SurveyIn 2018, 61% of white San Diego households owned their own homes, compared to only 30% of black households.
“There is a clear big gap” in the CNN business, said Pamela Gray Peyton, vice president of community impact at the San Diego Foundation. “If you’re not on the market yet, it’s hard to get into the market.”
Distorted effects of a pandemic
Black Americans Overestimation In a low-wage service sector job that was disproportionately hit by a pandemic furlough.Black Americans also tend to be more burdened Student loan debt, Make less money and have less savings on average when compared to their Caucasian counterparts.
In that study, think tanks focus on national history Redlining Mortgage discrimination is caused by black households Less wealth on average Than the average person Black millennials Gen Z can rely on their parents to buy their first home.
“It’s a symbol of a confluence and a collection of many different economic pressure points on people of color,” said Christian Weller, one of the authors of the study and a senior researcher in economic policy at the Center for American Progress. Stated.
“They are losing their jobs faster than whites. They are losing their jobs longer,” Weller added. “They mean less savings and less money for down payments. Things can get out of control very quickly, especially for African-American homeowners.”
Almost a quarter of today’s homebuyers are non-mortgage cash buyers, according to Jessica Lautz, vice president of demographics and behavioral insights at the National Association of Realtors. Be white.
Between April and July last year, 82% of Americans who bought a home were white. study According to the National Association of Real Estate Agents. According to group researchers, only 9% were Hispanics, 8% were Asians, and 5% were blacks.
“It’s a small part of the economy that you can pay all the cash for real estate and wave valuations,” Lautz told CNN Business. “We find that a very large proportion of them are Caucasian individuals.”
Help for future homebuyers
Prison officer Benyard recently got a lot of help in a search for a home purchase.
In July, the Urban League in San Diego County, a local division of the National Civil Rights Group, was in Benyard, the group’s new Black Home Buyer Program..
Qualified black residents of San Diego County who meet the income, employment, and credit requirements of the program and have completed the Urban League home purchase training course can receive more than $ 70,000 in grants for home purchases. increase.
Urban League COO Al Abdullah of San Diego County said the “first of its kind” program is by helping black residents who are eligible to own a home but need help competing with wealthy buyers. He says it is designed to address the racial wealth gap in the city.
“This will help them cross the finish line,” Abdullah told CNN Business. “You can work as hard as you like, but saving $ 70,000 to put it at home is very difficult, if not impossible.”
African Americans are priced from the pandemic housing boom
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