Black families are the least likely to own a home in America. Historic systemic racism in financing and credit have made us the top renters in the country. However, new changes are in store for us that may help offset these issues.
The national average to rent a two bedroom apartment has risen 24% in the last year alone. Yet we pay these rents, which are sometimes higher than a mortgage payment. On top of that, our monthly payments never counted towards our credit history.
Renters whose property’s mortgage is held by Fannie Mae can now have their on-time payments reported to the three major credit bureaus, thus improving credit history and scores.
This is a slow moving change but it’s monumental for Black families. Next up, changing the game completely so we can create and own our spaces.