Franklin Delano Roosevelt’s New Deal for White Americans Only

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"Life is all right in America", "If you're all white in America" --- From the song "America", a well-known song from the musical West Side Story. The birth of Franklin Delano Roosevelt’s New Deal opened new opportunities to Americans who had suffered through the long Great Depression. One of the new opportunities afforded to Americans were the policies that made it possible for more Americans to own their own homes. However, there was an important qualification that needed to be in place to experience the benefits of these…show more content…
This power helped white families considerably in gaining ownership of houses, but severely crippled home ownership ability for African American families. The role of the HOLC was to provide low interest loans and refinance homes to prevent foreclosure; the role of the FHA was to guarantee mortgages from default. Both of these organizations worked to minimize the risk of home loans for banks, making it easier for families to obtain loans and mortgages to buy homes. This resulted in an explosion of home ownership from the 1930’s to the 1960’s, “In 1930, only 30 percent of Americans owned their homes; by 1960, more than 60 percent were home owners.” The effect of these policies may have afforded an array of opportunities to white Americans, but they had a very different effect on the African American population. The establishment of these policies contributed to a state of unequal and segregated housing among African Americans and whites referred to as the dual housing market. In a dual housing market, the price of any given home was assigned two separate prices depending on the race of the buyer. White families were being given substantially lower prices and more options by realtors for homes than African American families were. Realtors were at the root of this problem, “Chicago’s realtors were thus instrumental in the creation of a dual housing market both locally and nationally- that is, a “white” market of low
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