Still Paying the Race Tax? Analyzing Property Values in Homogeneous and Mixed-Race Suburbs

Abstract

:Racial and ethnic inequality has manifested itself in wealth ownership and access to quality housing. Home ownership is considered a good basis on which to build equity. Whereas property values and their appreciation have been analyzed in those inner city neighborhoods that have high proportions of racially and ethnically underrepresented groups, not much systematic research has been undertaken on these issues in homogeneous versus mixed-race suburbs. By analyzing census tracts within select counties across the United States with weighted least squares (WLS) regressions, this article investigates differences among suburban census tracts in terms of several factors, including property values and their appreciation rates and factors, that have influenced property values. Based on the results, it is concluded that the assumption that home ownership in the suburbs leads to the building of housing wealth needs to be differentiated.