Despite recent headlines trumpeting a return of America\u2019s real estate market to its boom-time highs, a report released today by the Alliance for a Just Society shows how little of that has trickled into communities of color. The document, entitled \u201cWasted Wealth,\u201d is a sobering reminder of the gap between top-line economic cheerleading and the reality of what\u2019s happening on the ground.<\/p>\n
As \u201cWasted Wealth\u201d lays out, close to 2.5 million families lost homes in just three years. Communities that were majority people of color saw foreclosures take place at almost twice the rate as white communities, with an average loss of wealth 30 percent higher per household.<\/p>\n
This foreclosure tidal wave is why wealth for blacks and Latinos is at the lowest level ever recorded. Housing is the leading wealth asset for these two communities.<\/p>\n
Although the real estate market overall has regained $16 trillion in wealth lost during the recession, these gains are largely driven by a frenzy for high-end properties at the very top of the market. \u201cWasted Wealth\u201d contrasts these highs with the fact that more than 13 million homes continue to remain at risk for foreclosure.<\/p>\n