The city of Chicago lost more than $3.1 billion in wealth, or about
$2,900 per household, in 2012 as a result of the foreclosure crisis,
according to a new report from the Alliance for a Just Society.
And more than $192 billion in homeowner wealth was lost nationally last year, the new analysis shows.
Communities of color in Chicago saw more foreclosures and lost wealth per household compared to other communities.
In
2012, the average Chicago household in zip codes with the highest
concentration of people of color lost $3,700 in wealth, the “Wasted Wealth” (PDF) report found.
In comparison, the average wealth lost in segregated white communities was about $1,300 per household.
“Seeing
this loss of wealth per household is profound," said the Rev. Marilyn Pagán-Banks, president of IIRON, which also worked on the release of the report. "People of color in
Chicago, whose majority equity holdings remain in real estate, have been
particularly affected by the crisis.”
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Housing advocates in Chicago and across the country have begun to
channel their frustration with the sprawling foreclosure crisis toward
one man: Ed DeMarco (pictured), acting director of the Federal Housing Finance
Agency (FHFA).
