Black Homeownership Initiative:
Building Black Wealth
The Building Black Wealth campaign is CalHFA's initiative to increase Black homeownership in California. Looking at homeownership through a lens of equity, Black homeownership is far behind. Our campaign provides educational materials, and connections to resources such as free housing counseling and down payment assistance to help close that gap.
When you are ready to buy a house, contact a CalHFA Preferred Loan Officer.
Why Black Homeownership Matters
Homeownership has been the most effective way that Americans build wealth, which can be passed down from generation to generation. It also stabilizes communities, provides access to education, and access to employment opportunities.
However, not all Americans have had an equal opportunity to build wealth through homeownership. Historical discrimination through exclusionary housing policies and practices, plus a dwindling supply of housing and a variety of other factors have limited Black families from purchasing homes at the same rate as their White counterparts.
For the entire 2010s, California’s Black homeownership rate has been lower than it was in the 1960s, when it was completely legal to discriminate against Black homebuyers. The 2019 statistics show that just 41% of Black families own their homes compared to 68% of White families.
Note: Data above is from the 2019 homeownership data collected by the U.S. Census.
"Did You Know" is an educational video series that details America’s history of housing discrimination that has given white families a better opportunity to build wealth through homeownership than Black people.
Fair Housing Acts
The Fair Housing Acts cover the National Fair Housing Act of 1968, which was an expansion of the Civil Rights Act of 1964, and the California Fair Housing Act of 1963, which is also known as the Rumford Act. Both Acts were attempts to outlaw discrimination in the sale, rental, or financing of housing based on race.
The Homestead Act was the earliest attempt by the United States government to provide housing opportunities to its citizens.
Redlining was a government sanctioned form of housing discrimination where banks, insurance companies, and mortgage lenders refused to issue loans to people in areas deemed "financially risky."
Predatory lending practices are unethical and illegal practices used by lenders that are unfair to the borrower.
CalHFA's Tips to Black Homeownership videos can help first-time homebuyers navigate through the homebuying process. Below, homebuyers can find assistance on topics such as credit, finances and documentation needed when speaking with a lender.
Tips to Black Homeownership videos available:
Tips to Black Homeownership videos coming soon:
- TIP #5: Debt-to-Income Ratio
- TIP #6: Down Payment Assistance
CalHFA started out in 1975 with a goal that is reflected today in our mission statement: helping more Californians find a place to call home. Now more than 40 years later, the Agency is proud to have assisted over 200,000 low- and moderate-income California families in becoming homeowners.
The homebuying process can be daunting, especially for Black families that have not seen as many members of their community complete the homeownership journey, with all its ups and down. To help show that homeownership is possible, CalHFA will use videos and written stories to showcase everyday Black Californians, successful completing this journey. We hope these stories inspire you to take the first step on your path to homeownership.
Success stories will be coming soon.