The Daily Show: Ears Edition - If You Don't Know, Now You Know - Racism in Housing

Episode Date: August 26, 2021

Trevor dives into the long and ongoing history of discrimination against African Americans homeowners, and Leo Deblin (Roy Wood Jr.) offers a solution. Originally aired December 2020. Learn more about your ad-choices at https://www.iheartpodcastnetwork.comSee omnystudio.com/listener for privacy information.

You're listening to Comedy Central. But while the pandemic is causing millions to face a mortgage crisis for the first time, housing instability is nothing new for black people. In fact, it's something African Americans have been dealing with long before the coronavirus. So let's find out why, in another installment of, If you don't know, now you know. It's no secret that white people have had an easier time getting ahead in America. But one of the most important reasons for this might surprise you. For millions owning a home remains at the heart of the American dream. But many black Americans have been left out. A new report says just 44% of black families owning a home remains at the heart of the American dream, but many black Americans

have been left out. A new report says just 44% of black families own a home compared to 74% for whites. Owning a home is the way that most people develop wealth. It is the way that for years and years and years, people have been able to pass something on to their children or pay for their education. It's part of the reason the average white family has about ten times the median wealth of a black family. The gap between white and black homeowners is greater now than it was since before the Fair Housing Act of 1968 when segregation was legal.

That's right. The home ownership gap is worse for black people now than it was in segregation. Which is insane! I never thought a black guy could be able to say, ah, Jim Crow, those were the good old days. But it makes sense when you realize how owning real estate helps you build wealth. And that wealth becomes generational. Because home ownership is one of the surest ways for families to pass down wealth.

Not beanie babies, grandma. But they're still very cute, save them for you. But also, like, think about a portfolio. So, black Americans have had less wealth than white Americans for decades. And large part of that was because they couldn't build wealth by owning a home. But why? Why couldn't they own homes at the same rates as white Americans. Well, like most things dealing with racial inequality, it starts with the government.

During the New Deal, the Homeowners Loan Corporation refinanced more than a million loans, nearly one out of every five mortgages in urban America. Now, the main problem with the Homeowners Loan Corporation was redlining. All of that wonderful government finance was only available to white people. The Homeowners Loan Corporation essentially deemed black people too risky to loan. The H-O-L-C created residential security maps where the term redlining comes from.

Green meant best area, best people, aka businessmen. Blue meant good people like white collar families, yellow meant a declining area with working class families, and red meant detrimental influences. Most significantly, negroes. Saying that neighborhoods were hazardous to Lendon because they were, quote unquote, infiltrated by Negroes or threatened with Negro encroachment. Man, what a terrible era.

When the phrase infiltrated by Negroes could be a term used by the federal government, when it should only be used for a dope-ass Migos album. I mean, seriously, do you know how fucked up it is to describe those neighborhoods as infiltrated by Negroes. That's where black people lived. But they made it sound like black people were breaking and entering into their own houses. Oh shit, I'm in.

Oh, it's my house. What am I doing? I live, yeah. Although I won't like, a part of me actually misses how up front racism was back in the days. You didn't have to read between the lines. You know, because if you're black now and you're try to get a loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan loan the loan approval process. Back then, if a black person walked into a bank, the manager was just like, look alive, fellas, we got a Negro encroaching white women

in the vault, come on, yo. Now, by the late 1960s, courts ruled that redlining was illegal. But there are more subtle ways that black people are still kept from purchasing houses. For example, real estate agents who are just really trying to keep neighborhoods just white. Newsday with an undercover project to see whether real estate agents treated prospective tenants who are black any differently than prospective tenants who are white. And they did a lot.

The risks to African Americans in particular of suffering potential discrimination was about 50-50. I've had agents invoke burning crosses to dissuade me from buying a home in certain areas. This news day footage shows an agent handling one tester who is black and wants to see a house without a pre-qualification letter. I want to it, you can try another person, but I don't have the time to do that. But for the white buyer, also with no letter? She shows that buyer, too. In other cases, Newsday records agents

who appear to be steering minorities towards mixed communities. Every time I get a new list in Brentwood or a new client, I get so excited because there's nice people. But with a white buyer, the same agent texting him about recent gang killings there. Phew. Those real estate agents got caught. I'd love to hear their feeble excuses afterwards. No, no, no.

When I told one buyer the neighbors were nice gang killers, I meant they were nice gang killers, just jobs. And by the way, invoking burning crosses to try and stop a black person from moving into a neighborhood is not only racist, it's overkill. If you want to stop a black person from moving into a home, all you gotta do is tell them that their next door neighbor adds raisins to their potato salad. They it sure looks like the banks are still doing it anyway. Lenders deny mortgages for black applications at a rate 80 percent higher than that of white applicants.

When we do get loans or at much higher interest rates or much worse conditions. If you're African American making more than a hundred thousand dollars, you're more likely to be put into a subprime loan than if you were a white person making less than $35,000 dollars. Consequently, black and brown families were disproportionately impacted by the 2007-2010 housing crisis, being nearly twice as likely as white families to lose their homes. After controlling for education, crime, walkability, homes in black neighborhoods are devalued by 23 percent and accumulatively that's about 156 billion in lost equity. One couple in Florida actually saw their appraisal

increased by 40% after they removed any evidence that a black woman live there. I took down the family pictures that we had in the home and you know basically any markers that there were African-Americans living in the house. Replacing them only with photos of her husband and his white family. and basically any markers that there were African-Americans living in the house. Replacing them only with photos of her husband and his white family. When the second appraisal comes back, the value of their house shot up more than $100,000. Think about that. Her home appraisal went up $100,000.

A hundred thousand dollars. Getting rid of her family photos did more for her home value than putting in a swimming pool. And again, can we all agree that this is racist? Yeah? Because just having pictures of black family members shouldn't drive down the value of a house. Just because you're pictures of black people? I mean, unless that black person is R. Kelly. And then it's like, I don't care that the basement spacious. I know what was happening in there. So. So. So. So. So, th. So, th. So, th. So, th. So, th. th. th. th. th. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. thi. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. th. thi. thi. thi. thi. thee. to. to. too. too. the. the. the. the. thi. the. thi. thi. it's like I don't care that the basement is spacious I know what was happening in there. So when it comes to racial discrimination and housing America has come a long way and there's still a long way to go. But until the government gets serious about racial discrimination and mortgage lending and home selling well Leo Deblen has

has got you covered. Are you trying to sell your home but can't get a good price because you black? You're you you you you you you you you you you you you you you you you you you you you you the the the the the the the their their their their their their their their. their. their. their. their. th. their. their. th. th. th. th. th. th. th. their. their. their. So. So. So. So. So. So. So. So. their. their. their. their. their. their. their. their. their. their. their. their. I. I. I. I. I. I. I. I. I. I. I. I. the the the the the th. their. their. th. th. their. their. their. their. their. their. the their. the their. their. their. their. their. their. their. their you trying to sell your home but can't get a good price? Because you black? You're trying to get a new house, but these real estate agents are keeping you in the pool house. Well, pack that moving van. Because Leo's got a plan. Introducing Leo Deblins's home whitification. I'll make your house look so white. They'll think West Anderson live in this bitch.

I'll throw out all your family photos and replace them with watercolors of votes. I'll even throw in a diploma from Dartmouth. Art History. You know that's white. Your library is going to get whiteified too, with David Tadaris, the Life of Pop. And of course, how to be anti-racist by Ebraum X-Kendin. Oh that's white-hot. And nothing says white like adding exposed brick. Man, that's rustic as hell. I'll even white-o-fi your garage. Swap out that 2,500 Civic for a kayak a pair of skis, and a volleyball net that

only got used once. Whoa, looking like a LLBien catalog in this bitch. And if you order now, I'll whitify your music collection. Goodbye, Megan, Nostalian. Hello, Barbara the Stryssend. Leo Deblin home whitification. It ain't but $85. You can't get that you that that that that that that that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's that's.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.lin Home Whitification. It ain't but $85. You can get that from your mama. the Devlin Whitifification, an institute of Barbara Finn.

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