The Transformation Of Housing Discrimination Toward...

The Transformation of Housing Discrimination toward African American One of the American Dreams, home ownership, still inspiriting people to work hard and pursue their dream. In order to achieve a â€Å"color blind† society, the government set many policies to ensure everyone received the equal opportunities when they try to buy a house in the U.S. For example, the Fair Housing Act as a tool to prohibit the discrimination from color, race, gender, religion or family status (Wolf, Heath). However, there are many invisible rules or requirements that cause African American unable to access to home ownership base on the housing policy system. Because of the system, it makes the housing discrimination on African American even bigger. Of course,†¦show more content†¦Home Owners’ Loan Corporation (HOLC) and Fair Housing Administration (FHA) are the roots to create housing discrimination toward minority especially for African American; they help the mortgage lender to make excuses to deny the loan to African American because they do not meet the requirements. During 1928, there was a huge crisis in stock market and caused many banks close and people faced foreclosure. In order to respond the crisis, president Roosevelt signed the Homeowners Refinancing Act to slow down the rate of housing foreclosures during 1930s (Hillier). This policy helped a hundred million people who was suffering from the depression and facing to lose their houses (Hillier). In addition, it also help many people refinanced their mortgage with low interest rate (Aalbers). The Federal Home Loan Bank Board (FHLBB) used HOLC to establish a program to â€Å"appraise real estate risk levels in 239 cities† (Hillier), which â€Å"produced detailed reports for each city along with a series of now infamous security maps that assigned residential areas a grade from one to four† (Hillier). Because of the neighborhood rating system, â€Å"the HOLC was also instrumental in implementing and institutionalizing redlining practices† (Aalbers) that do not