By Ann Brown
Home sweet home isn’t always the case for many Black-American homeowners subject to Black tax. It costs Black people more to own a home than it does whites. a new MIT study found. This makes it extremely hard for Black households to accumulate wealth at the same rate as their white counterparts, according to MIT researchers.
The study, published earlier this month, showed that Black Americans pay $743 more annually than white Americans in mortgage interest payments, $550 more per year in mortgage insurance premiums, and $390 more each year in property taxes, The Hill reported. This totals more than $13,000 over the life of the loan. The study also found that the inequities amounted to $67,320 in lost retirement savings for Black homeowners.
Using income data from the National Association of Real Estate Brokers (NAREB), the oldest minority trade association in the U.S., the study noted an income gap of $25,800 between Black and white Americans to be “exacerbated by this ‘Black tax’ on homeownership.”
A different study found that Black homeowners pay about Click here to read entire article