Blacks and hispanics are bearing the brunt of New York City’s tightening mortgage market, a new report shows.
The number of new mortgages fell 14% in 2007, according to numbers released by the Furman Center for Real Estate & Urban Policy.
Mortgages for white homebuyers barely fell – and Asians actually saw a 6% increase – but mortgages for blacks and Hispanics dropped by 44% and 34% respectively.
The data suggest “that it’s going to be increasingly difficult for black and Hispanic borrowers to get mortgages,” said Ingrid Ellen, Furman Center co-director.
“We could be on our way to reversing many of the advances that we’ve made in minority homeownership,” she said.
Part of the decrease is due to the subprime mortgage crisis, but even prime loans fell dramatically for minority-group buyers.
“Communities of color are not getting access to any type of credit, fairly priced or not,” said Josh Zinner, co-director of the Neighborhood Economic Development Advocacy Project.
Loading ...