1. Housing Bubble Real Estate Racism Abdulla Al remeithi Chyanne Walton
Chaseddie Medina
Bryan Leiva
Glenda Posada

2. bell hooks major points
hooks argues that its more about race than class.
In California, whites express concerns selling to blacks.
Ohio wanted “appropriate class”
White people support segregation
hooks predicted the housing bubble

3. bell hooks major points
Whites say is more about class than race
“When I began seeking to buy “real estate” in Greenwich Village in New York City, telling the agents (all of whom were white) that I wanted to be in a racially diverse building, as I did not want myself or the folks coming to see me to be subjected to racism, they kept insisting that the issue was not about race but class (hooks131)”

4. bell hooks major points
“In a society like ours where class is rarely, if ever, talked about, it is worthy of note that whenever racism in real estate and housing is talked about, most white people will argue that discrimination is really about class rather than race (hooks134)”

5. bell hooks major points
Whites would rather be away from the black.
“White residents who might ordinarily in their daily lives see themselves as “liberal” when it comes to the issue of race often acted in a conservative manner when it came to allowing blacks/people of color into their building (hooks 132)”

6. bell hooks major points
“Every day citizens of this nation buy houses they cannot afford and will not own in their lifetime. Ironically, in many parts of our nation the houses get bigger and grander even as incomes dwindle (hooks 140)”

7. Average prices of Homes during the housing bubble
This graph shows the average and median sales prices between In 2008 the prices raised 17.5% from 2005 to 2009.

8. In 2006 the average price of a home was 305,900, in 2007 it was 313,600 and in it dropped to 292,600.

9. Research What is the “Housing Bubble”?
Who/Why did they get affected by it?
Lessons learned from the “Housing Bubble”

10. What is the “Housing Bubble”?
A temporary condition in which the real estate prices rapidly increase.
It eventually bursts, causing the “housing bubble” to decline in prices.
When interest rates become lower, demand becomes higher, therefore prices increase.

11. Who/Why did they get affected by it?
Hispanic communities faced biggest decline.
African-American communities came in second.
People who could not afford to pay the mortgages.

12. 5 Lessons learned from the “Housing Bubble”
Adjust Expectations
You can’t time the market
Don’t treat your home like a piggy bank
Do your own research
Think long-term financing

14. Analysis Discrimination and Exploitation in Real Estate.
Exploitation is the act of treating someone unfairly in order to benefit from work.
Just like bell hooks many people were treated unfairly when buying house back in the days because of their race.

15. Analysis
bell hooks said “folks will insist that they are not racist, then simultaneously argue that everyone knows property values will diminish if too many black people enter the neighborhood.”
White people would discriminate and believe that if they allowed black people to move into their neighborhood that their things would get stolen.

16. Analysis Fair Housing Act.
In the Sale and Rental of Housing: No one may take any of the following actions based on race
Refuse to rent or sell housing
Refuse to negotiate for housing
Making housing unavailable
Deny a dwelling

17. Analysis
The tax credit was offered to two main groups: Minority groups with low homeownership rates and young buyers with low incomes. (Minority = Black, Asian, Hispanic)
The credit only applied to first-time buyers who purchased homes after April 8, 2008 and before July 28, 2008.
The tax credit granted them enough money to cover the down payment on the house and mortgage.
Payments were to be covered over a 15 year span with 10% interest.

19. Discussion Questions
How do you see the housing bubble and its aftermath in effect now?
Do you see this happening again in the future? Why or why not?
Did this happen to you or anyone you know?

20. Works Cited
Black, Ken, and Bronwyn Harris. "What Is A Housing Bubble?" WiseGeek. Conjecture, 04
Mar Web. 30 Mar
Covert, Bryce. "Hispanic Communities Were Hit Hardest By The Housing Bubble And
Bust." ThinkProgress RSS. N.p., 17 Jan Web. 31 Mar
Holmes, Tamara E. "Lessons Learned When Housing Bubble Bust Caused Real Estate
Market Crash." Lessons Learned When Housing Bubble Bust Caused Real Estate Market Crash. Bankrate, n.d. Web. 30 Mar
Hooks, Bell. Where We Stand Class Matters. Print.
"Fair Housing Act." Encyclopedia of African American Society, (2005): .
Goodwin, Kimberly R, and Leonard V Zumpano. "The Home Buyer Tax Credit of 2009 and the Transition to
Homeownership." Journal of Housing Research, 20.2 (2011):
Malter, Jordan. “Is there a housing bubble in California?”. CNNMONEY. video.