Wells Fargo & Company (NYSE: WFC), the leading U.S. home loan lender, recently announced a $60 billion lending commitment to create at least 250,000 new African American homeowners
The company’s commitment is a direct action to address the lower homeownership rates in the African American community. Wells Fargo’s commitment seeks to:
Lend $60 billion to qualified African American consumers for home purchases by 2027,
Increase the diversity of the Wells Fargo Home Lending sales team, and
Support the effort with $15 million to support a variety of initiatives that promote
financial education and counseling over the next ten years.
“Wells Fargo’s $60 billion lending goal can contribute to economic growth by making
responsible homeownership possible for more African Americans in communities across the country,” said Brad Blackwell, executive vice president and head of housing policy and homeownership growth strategies for Wells Fargo. “We are proud to be the first mortgage lender to make a public commitment to help increase African American homeownership. And, we are grateful for the support of key housing and civil rights organizations, who work alongside us to increase economic prosperity in our communities.”
According to the U.S. Census Bureau, by the year 2024, 75 percent of the expected 14 million new households (renters and owners) in the U.S. will be diverse. African Americans are projected to represent 17 percent, or the third largest segment, of the new households.
The African American lending commitment is the second initiative from the company’s Housing Policy and Homeownership Growth Strategies group, a Wells Fargo Home Lending team advancing homeownership for minorities, first-time homebuyers and low- to moderate-income customers. In 2015, the team announced an agreement with the National Association of Hispanic Real Estate Professionals to support their Hispanic Wealth Project.