Home ownership has always been one of the best ways to build generational wealth – but things are changing. Black homeownership is declining faster than it was in the 1960s! And it's expected to get much worse.
Generation X and Millennials are not buying homes at the same rates as previous generations because they’re not able to save nearly as much as their parents, and the cost of housing has skyrocketed. That means missing out on essential equity and wealth-building years!
The rate of American homeownership has been steadily declining with every generation but the racial aspect is the most dramatic. Over the next 20 years, the rate of Black homeownership will decline the most. What impact will this have on Black wealth-building?
The impact will be dramatic. It'll affect what wealth we’re able to build and what we can pass down to our children. If this continues, the wealth gap will continue to grow.
But it's not hopeless – there are still options! There are first-time homeowner assistance programs, homeownership grants, and collaborative ways to pool resources. We can bridge this gap before it becomes a reality!
Using every resource available to us, as well as relying on each other, will help us establish wealth through homeownership. And that has major impacts for us and for future generations!