ResalesWOW Program Seeks 1 Million New Owners By 2005
WASHINGTON -- The ownership rate among African Americans lags far behind that of other ethnic groups. But the Congressional Black Caucus Foundation aims to correct that with a major new home ownership initiative called WOW.
An acronym that stands for "With Ownership, Wealth," WOW hopes to add a million African Americans to the ranks of home ownership by 2005 through a comprehensive outreach effort that includes home ownership fairs, radio and newspaper advertising campaigns and community-based partnership programs.
The initiative also will feature one-on-one counseling services, access to city and state funds for downpayment and closing cost assistance, and in-depth information about the best financing options available through participating lenders who have promised to offer products designed to address the issue many first-time buyers face.
WOW will be launched in May in the 37 congressional districts in 22 states and territories which have sent African Americans to represent their interests in Congress.
"This new partnership will further the efforts of the Congressional Black Caucus to create ownership opportunities for African American families and make a tangible difference in revitalizing communities throughout the country," said Rep. Eva Clayton, D-N.C., former chair of the foundation.
Although the ownership rate among African Americans grew four times faster than for whites in the 1990s, it still stands at less than 50 percent. The rate for the nation as a whole is 67 percent, while it is 73 percent for whites.
But the program is designed to change that by communicating the opportunities available to the Black community to become home owners and by serving as a catalyst in the development of affordable, attractive and accessible housing.
"It will focus on reaching out to people who are now ready to buy a home and those who simply want to know how to get started," said Rep. Eddie Bernice Johnson, D-Tex., who chairs the Congress Black Caucus. "It will also focus on eliminating the obstacles that exist, and establishing a good, solid credit history."
The list of lenders already signed up to participate in the program reads like a "Who"s Who" of housing finance. It includes Cendant Mortgage, Chase Manhattan Mortgage, Countrywide Home Loans, Irwin Mortgage, Washington Mutual Home Loans and Wells Fargo Home Mortgage.
Several mortgage insurance companies also have agreed to back the loans, and Fannie Mae and Freddie Mac, the major purchasers of loans from local lenders, have agreed to buy them.
All the major housing trade groups also are participating, and the foundation hopes to enlist other participants to join the initiatives charter members, which include the Congress of National Black Churches, National Association of Urban Bankers, National Congress of Black State Legislatures and the National Association of Black Mayors.
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