WASHINGTON (AURN News) — For Black Americans trying to buy their first home, a federal policy change could make an already difficult road even harder. The Trump administration has withdrawn federal support for guidance that encouraged lenders to create special purpose credit programs designed to help groups that historically faced barriers to mortgages and other credit.
Seven federal agencies, including the Department of Housing and Urban Development, the Department of Justice and the Consumer Financial Protection Bureau, rescinded the 2022 guidance. The Federal Reserve separately withdrew its support.
The administration says lending decisions should not be based on race, but the racial homeownership gap is already substantial. Census data put Black homeownership at just 44% in the first quarter of this year, compared with 75% for non-Hispanic white households.
The question now for Black first-time homebuyers is whether lenders will scale back or discontinue programs designed to expand access to credit.
Click play to listen to the report from AURN White House Correspondent Ebony McMorris. For more news, follow @E_N_McMorris & @aurnonline.
