Study notes racial disparity in Cincinnati home lending Cincinnati Business Courier
A study by the Housing Research & Advocacy Center reveals continuing racial disparities in home lending in Cincinnati.
The 2009 study by the Cleveland-based group covered data from 2005 through 2008.
The research showed that more Cincinnati African Americans were denied home purchase loans than whites, regardless of income. Upper-income African Americans were denied loans at a rate of 16.5 percent, while low-income whites were denied at a rate of 9 percent. This is the highest such disparity in Ohio.
Upper-income African Americans in Cincinnati were also denied refinance loans at a higher rate than low-income whites, at 55.3 percent and 49.1 percent respectively. Upper-income whites were only denied refinance loans 26 percent of the time.
Cincinnati had the highest rate of high-cost home-purchase lending for whites in the state, where 19.3 percent of such loans were high-cost. However, Cincinnati had the lowest incidence of high-cost refinance loans in the state for all ethnic groups, except Asians, with 21.8 percent of such loans offered at high cost to African Americans, 8.3 percent to whites and 5.7 percent to Hispanics/Latinos. Akron did not issue any high-cost refinance loans to Asians in the period surveyed.
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