The National Association of Real Estate Brokers (NAREB) released its 2022 State of Housing in Black America, finding that “the near-term prognosis for future gains in Black homeownership does not seem positive.”

The report says that rising interest rates and an economy approaching a possible recession have constrained all first-time homebuyers. However, Black homebuyers are particularly challenged to save for downpayment due to, among other factors, earning lower median wages than whites. According to the report, Black communities also suffer disproportionally from climate change because of a lack of resources, outdated housing stock, and crumbling infrastructure resulting from decades of redlining and segregation.

Despite these roadblocks, the report notes some positive trends: Black homebuyers for the first time in more than a decade applied for more conventional mortgage loans than for unconventional loans. Also, the Federal Housing Finance Agency approved the rollout of new, more sophiticated credit-scoring models that will more accurately represent the creditworthiness of Black consumers.

The full report contains NAREB’s recommendations, a summary of the mortgage data, and other insights into this topic.