How student loan forgiveness could boost Black homeownership rates

Interesting slide shows about the world Slideshow World by [ArcaMax](?ezine=782&r=q6TNxhTIRiIDQIB9rKGV4fojKkhjCotqhCh0NX9FCH9DOjMyNzAwODM2NDpKOjIxNjIyMzg6TDo3ODI6Ujo4MzE1Mzc6Vjo1MQ) [How student loan forgiveness could boost Black homeownership rates]( Jill Jaracz [ How student loan forgiveness could boost Black homeownership rates ]( [See full slideshow »]( Six in 10 millennials who don't own a home say it's because of student loan debt, according to a 2021 survey from theNational Association of Realtors. College costs skyrocketed in the last two decades. Average tuition between 2010-11 and 2020-21 school years rose nearly 31% at public universities and more than 41% at private universities, according to the Education Data Initiative. Students now pay an average of $35,551 a year. This debt has worsened the racial homeownership gap, which has widened over decades of discriminatory lending practices, racist housing policies, and barriers to wealth for Black Americans and other people of color. These trends led higher numbers of students from marginalized communities to assume additional financial risk for a college degree. For many, loans make college possible. More than 45 million people in 2020 had student loan debt, averaging $37,693 per person, per Education Data Initiative. These costs have made it difficult for many to afford a down payment on a home. The homeownership rate falls by nearly 2 percentage points for every additional $1,000 in student loan debt a borrower holds, according to theFederal Reserve. Stacker examined data from the Federal Reserve and the Department of Education to see how federal student loan forgiveness could boost U.S. homeownership rates, particularly among Black Americans. Because Black Americans have historically been unable to build wealth as easily as their non-Black counterparts, they're relying more on loans to obtain big-ticket items like higher education and homeownership. Higher student loan payments and interest rates hinder their ability to buy a home and can trap them in a cycle of inequality. In August 2022, the Biden administration announced it would forgive $10,000 in student loan debt, affecting about 43 million borrowers. Keep reading to see the effect of student loan forgiveness on Black homeownership rates in the U.S. Visit thestacker.com for similar lists and stories. [Tweet It]( - [Facebook It]( Sponsor [ Picture Of The Day Newsletter ] Picture Of The Day Newsletter Enjoy the most beautiful and interesting scenes in the world with a subscription to the Picture of the Day newsletter. High quality photos range from architecture and space exploration to nature shots and famous art works. [Instantly Subscribe Now]( -- From the ArcaMax editors More Slideshow World from ArcaMax.com - [Most popular camping gear categories]( - [5 strategies to make note-taking better--and more productive]( [Click To Unsubscribe]( | [Customer Service]( | [Privacy Policy]( | [California / Nevada Privacy Info]( 1706 Todds Lane, Box 311, Hampton, VA 23666 Copyright © 2022 ArcaMax Publishing [Facebook]( [Twitter](/ArcaMax)