Congressional Black Caucus Foundation Welcomes Bush Pledge to Join in The Efforts to Increase African American Homeownership

(Washington, DC) Efforts to increase homeownership among African Americans and other minorities got a boost from the White House today, as President George Bush announced a tax credit that will enhance the Congressional Black Caucus Foundation’s (CBCF) effort to create one million new African American homeowners by the year 2005. The president is proposing a Single Family Affordable Housing Tax Credit to create homeownership opportunities for 5.5-million new African American homeowners, a program that will compliment the CBCF initiative called “With Ownership, Wealth” (WOW).

“We are delighted to have the Bush Administration join us in making a major push towards increasing minority homeownership,” says Rep. William J. Jefferson (D-LA) Chairman of the CBCF. “In order for our citizens to build wealth and strong cohesive communities, the current barriers must be removed and programs like the tax credit being proposed by the president must be closely examined.” The CBCF WOW Initiative is supported by a comprehensive list of housing finance, insurance, and nonprofit community development organizations.

The WOW Initiative is supported by all 38 Members of the Congressional Black Caucus (CBC), an organization that made housing a priority based on the dismal statistics that show African Americans nationally have a homeownership rate of 48% while the majority rate is 73%. “I am very pleased that our WOW Initiative is three years old and growing stronger. Additionally, I am pleased that Mr. Bush has made a verbal commitment to make homeownership available to all citizens. It is important that we wait and see if Mr. Bush is just providing lip service or if he is really committed to increasing homeownership for minorities,” said U.S. Representative Eddie Bernice Johnson (D-TX), Chair of the Congressional Black Caucus.

Rep. Eva M. Clayton (D-NC), immediate past Chairperson of the CBC Foundation, was instrumental in establishing the WOW Initiative, and is also pleased with the President’s announcement. “Having come from a District that is not only predominantly rural, but also heavily populated by African Americans and other minorities, I welcome the President’s efforts to create greater wealth in communities where housing needs are critical,” she said. Rep. Clayton sees the Bush announcement as a positive activity that will increase interest among industry players in minority homeownership acquisition.

Fannie Mae and Freddie Mac, two key partners in the WOW Initiative also joined President Bush in making the announcement and agreed to increase their commitment to minority markets by $440 billion. Another WOW partner, the National Association of Realtors, has agreed to create a central data bank of affordable housing programs that will be made available to agents, and other real estate professionals. The WOW Initiative is now active in neighborhoods in 15 states, with plans to expand to more in the immediate future.

The CBCF serves as a nonpartisan, policy-oriented catalyst to educate future leaders and promote collaboration among community and business leaders, minority-focused organizational leaders, and organized labor to effect positive and substantive change in the African American community.