Woodstock Institute staff work with the press to provide research and policy expertise on issues ranging from foreclosures to predatory lending to banking reform and more. To reach a Woodstock expert, contact Drew Dickerson at 312-368-0310.
CHICAGO--Negative equity is disproportionately concentrated in the Chicago region’s African American, Latino, and majority minority neighborhoods, a new report from Woodstock Institute found.
The report also found that borrowers in communities of color have much less equity on average than do borrowers in predominantly white communities. “Underwater homes limit opportunities for families and sap neighborhood wealth,” said Spencer Cowan, Vice President at Woodstock Institute. “When highly concentrated, underwater homes can contribute to community destabilization and the proliferation of foreclosures. The clustering of negative equity in communities of color poses hurdles to economic recovery in these areas.”
Bankruptcy filers in African-American neighborhoods choose potentially risky Chapter 13 more often than filers in white communities
Women in Cook County’s African-American neighborhoods file for bankruptcy at a disproportionately high rate, a new report from Woodstock Institute found. The report also found that bankruptcy filers in African-American communities are far more likely to choose Chapter 13 bankruptcy over Chapter 7, a trend that may indicate limited economic benefits of the bankruptcy process to filers in these communities.
Access to mortgage refinance loans sharply declined in communities of color and increased substantially in predominantly white neighborhoods, according to a report released today by a multistate coalition of groups.
These trends underline growing concerns about the dramatically divergent fortunes of communities of color that have been hit hard by the foreclosure and economic crisis and white communities where the impact has been less severe. These concerns are even more pronounced in light of recent proposed changes in mortgage financing that would likely make access to conventional refinance lending even more difficult and costly and likely disproportionately affect access to loans in communities of color.
There are sharp disparities in credit characteristics between communities of color and white communities in Illinois, a new report from Woodstock Institute found. “Bridging the Gap: Credit Scores and Economic Opportunity in Illinois Communities of Color” analyzed credit score data from a major national credit bureau for the State of Illinois and found that individuals living in communities of color were far more likely to have “non-prime” credit scores, while individuals in predominantly white communities were much more likely to have “prime” credit scores.
A report released by a multi-state collaboration of regional research, policy and advocacy organizations documents the dramatic decrease in low-cost home loans made between 2006 and 2008, and highlights that communities of color were hardest hit by the drop-off in lending.
New foreclosure filings in the Chicago six county region rose 21 percent from 2008 to 2009 despite federal, state, and local programs designed to curb the foreclosure crisis, says a new Woodstock Institute report. During the fourth quarter of 2009, the region saw 24,053 new foreclosure filings—the highest quarterly number observed since 2005.