Minorities at Disadvantage for Mortgages
The study unveiled Monday by the Housing Research and Advocacy Group is based on federal lending statistics that Jeffrey Dillman, the group's director, says reveal disturbing racial disparities. For instance, Dillman says, statewide, high-income African Americans were denied home loans at a slightly higher rate than low income whites - 27% vs. 25%. But in the Cleveland Metro Survey Area that gap is far wider, he says: upper-income blacks were denied loans more than 30% of the time, vs. only 21% for low income. And there are even wider gaps with regard to high cost vs. lower cost loans. Dillman blames such disparities on declining regulation of the lending industry, which hr says has allowed unscrupulous or fraudulent lenders to prosper.
Many hope a new lending law passed last summer by the state general assembly will lead to fairer lending practices and fewer foreclosures. Bill Rice, 90.3.