Washington DC policy makers have been trying to stimulate black homeownership rates since President Lyndon Johnson and his Great Society platform in the 1960s.
Black homeownership peaked in 2004 but steadily declined until 2019. Then skyrocketed in the second half of 2019 and the first half of 2020.
The largest increase from 1995 to 2014 in black homeownership coincided with the enactment of President Clinton’s National Homeownership Strategy, that effectively encouraged lenders and mortgage insurers to weaken (streamline) underwriting standards.
Home prices declined dramatically in the latter half of 2007 until 2011 while black homeownership continued fall until 2019 when home prices were hitting all-time highs.
On a year-over-year basis, it is fantastic to see black households achieving such a historic gain in median weekly real earnings that is helping to propel black homeownership rates.