CHICAGO (WBBM NEWSRADIO) -- A study by the Cook County Treasurer’s office shows that federally sanctioned discouragement of mortgage loans in minority neighborhoods essentially strangled some communities and the repercussions continue even now.
The study shows that a map of the Chicago area’s most blighted neighborhoods—in many cases—coincides with maps of redlining drawn decades ago. County Treasurer Maria Pappas said the inability to get loans meant people and businesses couldn’t stay.
"These areas that were affected were areas that have no generational health, so you have property after property that was redlined."
That sparked an exodus from minority communities and disinvestment and Pappas said similar things have happened in Detroit and Philadelphia. The effects of redlining continue there too.
"This government-sanctioned “redlining” — denying home loans in minority areas because they were deemed a financial risk — thwarted generations of Black people from obtaining housing wealth that their white fellow citizens had achieved," an excerpt from the study said.
Related
Listen to WBBM Newsradio now on Audacy!
Sign up and follow WBBM Newsradio
Facebook | Twitter | Instagram