At the Friday meeting of the Diversity Committee, Donnell Williams, the newly installed president of the predominantly African American National Association of Real Estate Brokers introduced the new NAREB initiative targeting African American millennials and Gen Xers called “House Then the Car.”
NAREB publishes and regularly updates the “State of Housing in Black America” report. According to Q3 2019 U.S. Census data, the black home ownership rate is 42.7%, compared with 73.4% for whites, 58.5% for Asians, and 47.8% for Hispanics.
Decades of government sanctioned and societal discrimination through practices including redlining have historically suppressed black homeownership. More recently, though, successful African American Gen Xers and millennials are either choosing not to purchase homes, or are unintentionally disqualifying themselves from home purchases by buying a pricey car before buying a home. NAREB promotes black homeownership as a means for building intergenerational wealth. As such, it wants to see more African-Americans who have solid income and credit resist the urge to celebrate their success by purchasing an expensive, quickly depreciating investment, and instead invest in real estate first.
This effort is part of NAREB’s ongoing “2 million in 5” initiative—which includes the goal of creating two million new black home owners in a five-year period.
More information about NAREB’s initiative may be found at www.HouseThenTheCar.com.