The Housing Crisis reveals lack of Equity for Black Homeowners

Covering a span of ten years, Postive Money recently released a report titled The Impacts of the Housing Crisis on People of Different Ethnicities: an analysis of the latest data from England and Wales, based on their research.

In the first few pages, the report shares that Black African and Black Caribbean households are less likely to be homeowners and that the percentage of Black homeowners has dropped by 6.3% since 2001 compared to white households at 3.1%. 

Findings include less surprising information, such as young people whose parents rent vs own their own homes are more likely to remain renters for life, to more surprising details, such as Black renters are likely to spend 9% more on their homes than white counterparts.

21% of Black African households are overcrowded with precarious living conditions, vs a national average of 4%, as found in the report.

This issue is systemic and needs to be addressed openly by policymakers and community leaders. Incentives from loan providers or government subsidies do not address the ripple effects that historical lack of land ownership has on racialised people, with Black African and Black Caribbean often coming out as the least asseted ethnicity. 

These ripple effects spread to occupation choice, mental health, physical health, and dependence on quick-in/quick-out spending that keeps people in a perpetual survival state. This is a core issue that will only be resolved through decisive action in policy, increased access to suitable mortgages, and insisting on the recognition of unequal housing stock and its effects on Black homes. 

Read the full report for more findings and sign up to our newsletter for more updates on the housing crisis.