As part of our efforts to close the racial homeownership gap, Woodstock Institute aims to reverse the legacy of lending discrimination by ensuring Black and Brown communities receive equitable access to mortgage products.

Since its founding, Woodstock Institute has worked with activists, governments, and financial institutions to combat redlining, a discriminatory practice where neighborhoods of color  are systemically denied access to mortgage credit. Because mortgage discrimination stifles wealth-building in Black and Brown communities, redlining remains a major force driving the racial wealth gap in our country.

Today, the racial homeownership gap is larger than it was in 1960. This startling fact underscores the importance of continuing to advocate for policies that advance equity in mortgage lending.

Current Efforts by Woodstock Institute

Mortgage Access Initiative

After a 2020 WBEZ analysis showed that lenders had originated more mortgages in a single White neighborhood of Chicago than all Black neighborhoods combined, Woodstock and Neighborhood Housing Services of Chicago brought together representatives of various types of mortgage lenders—credit unions, banks, and mortgage companies—for honest conversations about the systemic barriers to homeownership for people of color and how we can change policies and practices to mitigate them. Learn more.

Community Lending Data Portal and Fact Books

Since 1986, Woodstock has published and analyzed data on annual housing trends across the Chicago region down to the neighborhood level. This data may be used to ensure that lenders adequately serve the housing finance needs of all communities, to enforce fair lending laws, and to provide information on gaps in local housing markets and opportunities for investment.

We published our final hard copy Community Lending Fact Book in 2022, and all future data will appear on our Community Lending Data Portal. This powerful tool allows us to expand on our mission of democratizing data by allowing community members and other stakeholders to easily splice and compare data in new ways, facilitating deeper and more precise analysis on lending activity in Chicago.

Lending Equity Ordinance

Passed by the Chicago City Council in September 2021, the Lending Equity Ordinance increases transparency regarding how financial institutions used by the City provide services and products to Chicago’s communities. The ordinance requires banks wishing to do business with the City to submit data on their branch locations, lending practices, loan distribution across neighborhoods, and demographics of local employees. The law also mandates annual public hearings evaluating whether progress has been made in closing lending gaps.

Woodstock Institute President & CEO Horacio Méndez has testified at the Chicago City Council’s Finance Committee’s Lending Equity Ordinance hearings on municipal depositories in 2021, 2022, and 2023.

Community Reinvestment Act

In an effort to address longstanding racial and economic inequities in the financial sector, both the federal and the Illinois state Community Reinvestment Act obligate financial institutions to make an affirmative effort to meet the credit needs of lower-income communities.