The changing determinants of inter‐racial home ownership disparities: New York City in the 1990s

Abstract

The 1990s witnessed significant changes in home ownership policy that were designed to reduce disparities in home ownership rates between whites and non‐whites. The study finds evidence that the policies were, indeed, effective in reducing home ownership disparities between whites and non‐whites. In this study data from the New York City Housing and Vacancy Survey (NYCHVS) are used to examine ethnic/racial home ownership rate disparities. Decompositions are performed to determine the component of home ownership rate differentials due to ethnic/racial group characteristics versus ability to translate those characteristics into home ownership. Presumably, a shift in public policy to be more ethnically and racially inclusive should reflect a change in home ownership rate disparities and, more particularly, a change in the component of those disparities attributed to differential ability to translate group characteristics into home ownership rates. Hence, this study addresses the success of recent policies to foster the opportunity of achieving the ‘American dream’ for non‐white families.