The document discusses challenges around opportunity-based housing and the subprime lending crisis. It defines key concepts like "home" and "opportunity" and describes how lack of opportunity in areas like education and employment negatively impacts residents. Segregation created by policies like redlining historically denied opportunities to minorities. The subprime crisis exacerbated wealth loss in already disadvantaged neighborhoods. Moving forward, fair housing and credit policies must work locally to undo discrimination, support communities, and create a more just financial system.

1. OPPORTUNITY BASED HOUSING: CHALLENGES AND OPPORTUNITIES IN THE WAKE OF THE SUBPRIME LENDING CRISIS GCAA 2010 SOUTHEASTERN COLLOQUIUM john a. powell, Executive Director Christy Rogers, Senior Research Associate The Kirwan Institute for the Study of Race and Ethnicity at the Ohio State University

3. WHAT IS A HOUSE? WHAT IS OPPORTUNITY?

4. WHAT IS HOME? It’s not just your house – it’s your family, your friends, your neighbors, your local school, your doctor, your favorite grocery store…and all these things shape lives, especially kids’ lives.

5. “ HOME” IS AN OPPORTUNITY ANCHOR Housing Childcare Employment Education Health Transportation Effective Participation

13. OPPORTUNITY COMMUNITIES PROGRAM

23. LET’S TALK ABOUT HISTORY… Why bother? It’s the past! Fine…what happens to money over time?

24. MORTGAGE FINANCE EVOLUTION Post New Deal: The Three Party Mortgage Market Pre-Depression: The Two Party Housing Market This becomes very big business, i.e. F/F $800 Billion EACH portfolio in 2009

27. HOLC REDLINING MAP OF PHILADELPHIA

29. TOOLS OF DISCRIMINATION: RACIALLY RESTRICTIVE COVENANTS J. Hernandez shows how areas in Sacramento with racially restrictive covenants in the past had the fewest loan denials today…shows where prime credit was steered.

32. Source: Chris Peterson, U. of Utah Law School AFTER SECURITIZATION

33. EXPLOITING UNDERSERVED MARKETS (REVERSE REDLINING)

36. 2008 NATIONAL INITIATIVE ON SUBPRIME LENDING, FORECLOSURE AND RACE

40. A. LOCAL DIFFERENCE: CREDIT EXAMPLE

48. BIG PICTURE Source: Pastor et. al, Program for Environmental and Regional Equity “ the whole financial system has been rigged against lower income communities in general and communities of color in particular ”

49. WHAT IS ECONOMIC AND FINANCIAL JUSTICE? “ our financial system has a distinctly racial character, one that requires a response rooted in racial and social justice” “ if we are going to turn the financial industry back into something that benefits the consumer … WE HAVE TO SHIFT THE UNDERLYING BALANCE OF POWER” Source: Pastor et. al, Program for Environmental and Regional Equity

50. Need for social movements for financial equity “… the focus should not be simply on foreclosure relief, but on a new financial frame that has at its heart the restoration of opportunity for all ”

51. VISIT US IN MARCH…OR ON-LINE… http://www.KirwanInstitute.org www.facebook.com/kirwaninstitute www.twitter.com/kirwaninstitute March 11-13, 2010