Perspectives on Fair Housing: Economics

The third panel in the Perspectives on Fair Housing Series focused on the economic importance of fair housing and its link to wealth creation and community economic development. The panel featured Raphael Bostic, President and Chief Executive Officer, Federal Reserve Bank of Atlanta; Alanna McCargo, Vice President, Housing Finance Policy, Urban Institute; and Penn IUR Co-Director Susan Wachter.

Bostic, in his discussion on the economic imperative to end racism, highlighted the macro-level effects that racism has on everyone, and how emphasizing these effects are important in building broad coalitions to address segregation. Wachter discussed her research on homeownership disparities and the link between place and mobility as a key mechanism of systemic racism. Her research looks at when homeownership gaps narrow and how doing so improves outcomes for mobility and transferring wealth intergenerationally. McCargo shared the Urban Institute’s research on the racial homeownership gap, which found that income inequality, marital status, and credit score explain much of the existing gap. She noted the importance of additional factors such as housing affordability and supply, intergenerational wealth, and discrimination in closing the gap.

After each presentation, the group discussed the FHA’s failure to make progress on Black homeownership rates and the wealth gap, and how to address these disparities in the future.

Full recordings and recaps of each event can be found here.