Sonia Reed believed she had achieved the American dream. In December 2024, the Black grandmother and former homeless individual became a homeowner in San Leandro, California. But her triumph quickly turned into a nightmare when neighbors began harassing her with racial slurs and vandalizing her property. “I worked so hard to finally have a place to call my own, and now I have to fear for my safety in my own home,” Reed said. The Alameda County Sheriff’s Office said it is investigating the incidents as hate crimes. For many, vandalism is part of an ongoing pattern where Black homeowners have faced some kind of discrimination.

Reed’s experience is far from isolated. Black Americans remain locked in a battle for homeownership, confronted by systemic inequities, economic challenges, and, in some cases, environmental disasters that threaten to strip them of generational wealth.

A new Urban Institute report revealed that Black homeownership rates remain far behind those of white Americans. Researchers said it’s a gap rooted in decades of discriminatory housing policies, redlining, and predatory lending practices. “Homeownership remains one of the most significant drivers of wealth, yet Black families face disproportionate barriers to achieving this milestone,” researchers wrote.

The crisis extends beyond acts of overt racism. In January 2025, devastating wildfires tore through Altadena, California, a historically Black community with a homeownership rate of 81.5 percent—far higher than the national average. Thousands of homes were reduced to ashes and rubble, leaving families displaced. Many now face the daunting task of rebuilding and the looming threat of gentrification. “Developers are circling like vultures,” said longtime Altadena resident James Carter.   

“We’re trying to rebuild, but the fear is that we won’t be able to afford to stay.” Economic barriers remain a defining struggle. Brooke Scott, a litigation assistant in Los Angeles, calculated that achieving homeownership and financial security requires an annual household income of $300,000—far beyond what many Black families can attain. Housing costs, healthcare, taxes, and child-rearing expenses leave little room for savings or investment. “The numbers just don’t add up,” Scott said.    “Even with two incomes, we’re barely able to put away anything for a down payment.”

The Urban Institute’s findings represent a clear picture of the obstacles Black homeowners face. Disparities in income, lending practices, and generational wealth accumulation continue to create barriers that make Black homeownership an increasingly difficult goal. While federal and local initiatives have sought to close the gap, the road ahead remains steep.

Without significant policy changes and investment in Black communities, the homeownership gap will persist for generations to come,” the Urban Institute report warns.

For Reed, Scott, and the residents of Altadena, the challenges of Black homeownership are deeply personal. Whether confronting racial harassment, economic hurdles, or the aftermath of natural disasters, their stories serve as a reminder that the fight for equity in housing is far from over. If these barriers persist, the promise of homeownership will remain an elusive dream for too many Black Americans.

“We just want what everyone else has—a fair shot at building a future,” Carter asserted.

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By Taalib Saber, attorney and owner of The Saber Firm

As Black History Month reminds us of our legacy of resilience and economic power, recent federal rollbacks of Diversity, Equity, and Inclusion (DEI) programs have sent shockwaves through corporate America. While these policy changes may feel like a setback, they present a unique opportunity for Black entrepreneurs to double down on self-sufficiency and community-driven business growth.

A Wake-Up Call for Black Business Owners

DEI initiatives have helped Black professionals access corporate contracts and funding opportunities, but many provided symbolic representation without tangible economic transformation. With these policies being dismantled, it’s time for Black business owners to rely less on institutional diversity programs and more on collaborative, community-driven economic strategies.

This isn’t a time for despair. It’s a time to reimagine economic power. When systems exclude us, we innovate. When doors close, we build new ones. From the Freedmen’s Bureau to Black Wall Street, our ancestors created success despite systemic opposition.

Turning Setbacks into Power Plays

Rather than seeing DEI rollbacks as obstacles, Black entrepreneurs should view them as catalysts for collective wealth-building. Today’s success stories prove this approach works.

Rihanna’s Fenty Beauty revolutionized the cosmetics industry by creating products for all skin tones when mainstream brands wouldn’t. By focusing first on underserved Black and brown consumers, Fenty Beauty generated $100 million in sales in its first 40 days and has grown into a billion-dollar enterprise that forced the entire beauty industry to become more inclusive.

Calendly, founded by Nigerian-American Tope Awotona, became a billion-dollar scheduling platform by solving a universal problem. Despite initial struggles to secure venture funding, Awotona bootstrapped his company until its value was undeniable, ultimately raising $350 million and reaching a $3 billion valuation.

The Fifteen Percent Pledge, founded by Aurora James, demonstrates the power of intentional economic redirection. By persuading major retailers like Sephora and Macy’s to dedicate 15% of shelf space to Black-owned brands, the initiative has shifted over $10 billion to Black businesses since 2020.

How Black Businesses Can Thrive

Leverage Group Economics: Focus on Business-to-Business (B2B) relationships within the community through strategic partnerships and shared marketing efforts. Black entrepreneurs can drive revenue by prioritizing Black-owned vendors and service providers.

Explore Alternative Capital: While government-backed DEI funding may disappear, access capital through angel investors, venture capitalists focused on minority-owned businesses, and crowdfunding. Organizations like the Black Angel Tech Fund and 1863 Ventures are specifically supporting Black entrepreneurs.

• Master Digital Marketing: Without DEI mandates, securing contracts will be more competitive. A strong digital presence, SEO-optimized websites, social media dominance, and powerful branding are non-negotiable.
• Own Your Intellectual Property: In entertainment, sports, and entrepreneurship, prioritize ownership through trademarks, copyrights, and business structures that prevent exploitation while ensuring generational wealth.
• Build Industry-Specific Networks: Creating Black-led professional networks in industries like law, entertainment, and finance will ensure access to opportunities that corporate America may no longer prioritize.

Contemporary Success Through Community Power

Blavity Inc., founded by Morgan DeBaun, has built a digital media empire reaching over 30 million millennials monthly. By focusing on serving Black audiences and creators first, Blavity has expanded to include multiple brands and hosts AfroTech, the largest Black tech conference in America.

Greenwood Bank, co-founded by Ryan Glover, rapper Killer Mike, and former Atlanta Mayor Andrew Young, raised $40 million in funding before even opening its doors. Named after the prosperous “Black Wall Street” district, this digital banking platform specifically serves Black and Latino communities by reinvesting in minority businesses.

Pattern Beauty by Tracee Ellis Ross demonstrates the power of serving community needs first. By creating hair products specifically designed for Black women, the brand became profitable within days of launching and secured distribution at major retailers nationwide.

The Black Wealth Renaissance

Black history has always been marked by resilience. When access is denied, we create our own tables. By focusing on economic empowerment, ownership, and strategic partnerships within our community, we can build an ecosystem that thrives beyond political shifts.

This isn’t about segregation. It’s about elevation. It’s about ensuring Black businesses aren’t dependent on temporary policies but rooted in sustainable strategies that allow prosperity regardless of who’s in office.

We have always been our best investment. When we bet on ourselves, we win. When we invest in each other, we grow. When we circulate our dollars within our communities, we build lasting wealth.

Action Steps for Black Entrepreneurs

Identify and partner with Black-owned suppliers and vendors. Ensure your business is properly structured to protect assets. Develop a strong online brand presence. Explore funding options that prioritize Black entrepreneurs. Join or form industry-specific Black business networks. Support Black-owned financial institutions. Advocate for policies that benefit Black entrepreneurs.

The future is ours. Our history proves that we thrive when we work together. The attack on DEI is not the end of opportunity. It’s the beginning of a new Black economic renaissance. If we seize this moment, we won’t just survive. We will thrive!

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By Tom Kemeny, University of Toronto

One need only glance at headlines about Jeff Bezos, Elon Musk and other super-wealthy individuals to understand that wealth in America is increasingly concentrated in fewer and fewer hands. Inequality is sharply on the rise.

Until now, however, little has been known about where the richest households are located, which cities are the most unequal and how these trends have evolved.

In a new analysis I conducted with my colleagues, we reveal where wealth is most concentrated within and between communities, cities and states. The result is GEOWEALTH-US – the first data that tracks the geography of wealth in the United States and how it has changed since 1960.

The overall picture is worrying. The wealthiest cities in the U.S. are now almost seven times richer than the poorest regions, a disparity that has almost doubled since 1960. Meanwhile, especially in urban coastal areas, wealth has become highly concentrated in the hands of a few. The picture from the geography of wealth suggests we are even more divided than we thought.

Mapping inequality

To measure wealth locally, we built precise models of household wealth, applying sophisticated machine learning techniques to data from the Federal Reserve’s survey of consumer finances.

We then used the models to estimate wealth among households in the decennial census and American community survey, where we can identify where people live.

Experts define wealth as the difference between the value of a household’s assets – cash, real estate and stocks, for example – and its liabilities, including mortgages, student loans and credit card debt. Wealth is also called “net worth.”

Using GEOWEALTH-US, we show that the wealth distribution across the U.S. has transformed since 1960. Inequality between the nation’s flourishing urban centers and other areas of the country, especially in parts of the South and Midwest, is higher than it has ever been over the previous 60 years.

The expansion of wealth inequality is a challenge to the American Dream: the notion that, with hard work, opportunity and prosperity are accessible to all.

Wealth enables choice and stability. Poorer households have more trouble providing the best nutrition and education for their children. Additionally, people growing up in lower-wealth households are less likely to spur innovation in a field or start successful new businesses. Wealth also profoundly affects one’s health, leaving the least wealthy in our society significantly more vulnerable to premature death and disability.

Large wealth gaps between places

We analyzed average household wealth across the U.S. between 1960 and 2022, using census-defined communities of about 100,000 residents.

At the community level, the lack of wealth can make a major difference in how well cities work for their residents.

People who grow up in wealthier places can reap benefits that span generations. As a result of property taxes and philanthropy, wealthier communities have greater resources for schools, health care, transportation and other infrastructure.

Good schools are one benefit of wealthy communities that may improve social mobility even for children born into poverty, studies suggest.

The map for 2022 reveals major disparities in typical (median) net worth across communities. Many of the least wealthy locations are in poor neighborhoods in some of America’s biggest cities – for instance, parts of the Bronx and East Harlem in New York, and areas of Houston and Milwaukee. A typical household in the five poorest communities had assets worth about $18,000. Many households in these locations held more debt than assets. Other wealth-poor areas of the country included parts of Baton Rouge, Louisiana, and Cincinnati, Ohio.

The wealthiest communities today tend to be found in urban coastal areas.

Palo Alto, California, and Nassau County, New York, are two of the nation’s five wealthiest places. The top five areas had median household net worth of nearly $1.7 million. That’s almost 90 times wealthier than the poorest five places.

These wealth divides help explain why, between 2019 and 2021, according to the school finance indicators database, the Palo Alto Unified School District in California spent about $7,000 more per student than the minimum required to achieve national benchmark test scores. Meanwhile, the East Baton Rouge school district spent almost $4,000 less per student than is required to meet those same national standards. Cincinnati Public Schools underspent by more than $9,000 per pupil.

Large wealth gaps within places

We also looked at wealth divides in cities and communities. Average wealth levels in a community matter, but so does their unequal distribution.

Inequality, especially when a community is racially diverse and spatially segregated, has been linked to underinvestment in public goods such as schools, roads and hospitals.

Our research identified large gaps in wealth within communities.

For example, in certain parts of California such as San Jose and Santa Monica, we found that the richest 10% of residents are about seven times wealthier than the median household. In contrast, in many parts of Utah and Minnesota, the wealthiest 10% of households are only about three times wealthier than the median household.

Coastal areas, then, are not simply wealthier than the rest of the country; wealth in these places is also less equally shared.

We also found that wealth is unequally distributed across many parts of the South. This reflects the legacy of slavery, discrimination and uneven economic development over generations.

Regardless of geography, across America we found that the most unequal places were likely to have larger populations of African Americans, Hispanics and other people of color. In these locations, white households were overrepresented among the wealthiest. Households of color, meanwhile, generally had much lower net worth.

The map of wealth is changing

Extensive testing shows that our model estimates wealth with a high level of accuracy. And by mapping household wealth rather than household income, which is what researchers more commonly use to assess economic well-being, we found that place-based divides are much worse than previously believed.

Our data shows that wealth gaps between places have grown much more than income gaps since 1960. By 2020, gaps in average wealth levels were about 60% higher than equivalent income gaps.

This appears to be driven by the changing economic fortunes of cities.

Average wealth levels in the San Francisco Bay Area, Seattle, New York and Boston have risen dramatically as these areas have cemented their leadership in high-technology sectors and finance.

The loss of manufacturing jobs, meanwhile, destroyed wealth in many American communities. In 1960, the industrial hub of Cleveland, Ohio, had among the highest levels of average household wealth in the country, according to our data. In 2020, Cleveland ranked 466th out of the 722 areas in our study.

Within cities, we also observed a rise in wealth concentration. In the Minneapolis metropolitan area, for instance, the share of total wealth held by the richest 0.1% of households has almost tripled, from about 3% in 1960 to almost 9% by 2020. This means that, compared with the past, just a few families there now own a much larger piece of the pie.

Ladder to success becoming harder to climb

Multiple factors may explain the growing pooling of wealth. They include the rising concentration of high-paying jobs in major metro areas and the explosive growth in housing values in these high-performing cities.

Changing federal tax policies have also favored the affluent at the expense of regular Americans.

If such policies continue under the next Trump administration, the divided geography of wealth may well grow worse – with significant consequences for U.S. democracy.

This article is republished from The Conversation, a nonprofit, independent news organization bringing you facts and trustworthy analysis to help you make sense of our complex world. It was written by: Tom Kemeny, University of Toronto

Read more:

• Racial wealth gaps are yet another thing the US and UK have in common
• Homes in Black and Latino neighborhoods still undervalued 50 years after US banned using race in real estate appraisals
• Racial income and wealth gaps are huge – but the Fed doesn’t have the right tools to fix them

Tom Kemeny does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

Feature Image: New data highlights an increasing wealth divide across the United States. pick-uppath/Getty Images

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By Dr. Benjamin F. Chavis Jr., President and CEO, National Newspaper Publishers Association

    America’s financial system is quietly reinforcing old inequities. Black American communities — historically denied access to wealth-building tools due to practices like redlining and restrictive banking — now face a new predatory financial hurdle: credit card swipe fees.

    For Black Americans, swipe fees — which credit card companies use to fund luxury points programs — act as yet another layer of systemic discrimination, forcing many to pay more while receiving less in return.

    Consider how credit card swipe fees work. Every time someone uses a credit card, the merchant is charged a fee — usually between 2% and 4% — which is often passed on to consumers through higher prices. Wealthier cardholders benefit from this system, recouping costs through rewards like fancy hotel stays and airline miles. But a legacy of discrimination has left Black families with fewer wealth-building opportunities, resulting in lower homeownership rates, lower credit scores, and higher debt burdens — putting those premium credit card and their luxury rewards out of reach for many.

    In simple terms, Black Americans and other communities of color are left to foot the bill for the flights and perks of those who are considerably more affluent.

     Black Americans are less likely to hold credit cards — 72% ownership compared to 88% for White Americans — and often face higher interest rates. 58% of Black Americans have more credit card debt than emergency savings, compared to 30% of White Americans. Black college graduates carry $25,000 more in student loan debt than their White counterparts, which can further harm their credit scores and financial stability.

     It’s a painful irony: Black Americans, who are systematically excluded from wealth-building tools, end up paying more to access the same basic financial services. These financial pressures make it hard to escape revolving debt, and harder still to enjoy the rewards that banks offer. The promise of “free” rewards from swipe fees is an illusion for those who can barely afford to pay down their balance every month. While swipe fees aren’t solely responsible for racial wealth disparities, they compound existing financial burdens, making it even harder for Black families to build savings and financial security.

    Black Americans are far from the only group that would benefit from comprehensive swipe fees reform: Small business owners and advocates across the country have been sounding the alarm and leading the calls. For small merchants, swipe fees are often their second-highest monthly cost after labor. These businesses  — which operate on razor-thin profit margins — are forced to raise prices to stay afloat. The average American family pays more than $1,100 a year in higher prices due to these fees.

     The current swipe fee structure exists because the Visa-Mastercard duopoly controls 90% of the U.S. credit card processing market, allowing them to set and increase rates for merchants while blocking out competitors.

    Swipe fee reform isn’t radical; it’s about fair competition and a level playing field. The Credit Card Competition Act (CCCA) — a bipartisan bill being considered in Congress — aims to introduce competition into this marketplace by requiring at least two competing processing networks on each credit card. This could save American consumers and businesses an estimated $15 billion annually.

     The CCCA won’t end rewards programs — only the banks that offer them can decide that. In fact, a recent study found that the CCCA would have little to no impact on rewards. What the bill would do is end a broken system that preys on those with the least and benefits those with the most.

    Reducing swipe fees through pro-competition reform won’t undo generations of economic inequality, but it’s a step toward dismantling one of the structures that reinforce it. A fairer financial landscape benefits everyone, not just those most impacted — and Black Americans have paid more to receive less for too long. It’s time for that to change. An inequality anywhere is a threat to equality everywhere.

    Dr. Benjamin F. Chavis Jr. is President and CEO of the National Newspaper Publishers Association (NNPA) representing the Black Press of America and Executive Producer of The Chavis Chronicles on PBS TV Network. Dr. Chavis can be reached at dr.bchavis@nnpa.org.

Feature Image: iStockphoto / NNPA.

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Sesh Communications and Fifth-Third Back are partnering for another Owning It workshop. Join us for a free virtual webinar to learn the ins and outs of buying a home. We will discuss finding and financing a home. We will also provide you with information about affordable mortgage options.

Previous workshop topics included: why you should become a homebuyer, credit repair, finding a realtor, house shopping dos and donts, and next steps after finding the home of your dreams.

This statewide webinar will take place on Saturday, June 4 from noon until 1:30 pm. Register online at tinyurl.com/OwningIt-SU22. We can’t wait to see you there!

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Are you ready to get your coins together?

What I love about being an entrepreneur and blogger is that I get to help amplify other small businesses and events that empower others. What’s more empowering than learning how to increase your financial health? 

I want you to check out this conference coming up on August 14th. This is an intensive seminar focusing on structuring and building wealth for your family. You will learn the power of credit, business fundamentals, personal and business funding, real estate investing, Turo, Airbnb, the importance of a team and more.

To find out more information, click here. Hope this helps someone!

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