‘We’ve All Got to Be in This Together’: Interview with NAREB President Donnell Williams

Black homeownership rates have long lagged behind non-Black households. Data from the U.S. Census Bureau shows that the rate of homeownership for Black Americans was trending upward – 47% for the second quarter of 2020, up from 40.6% in the second quarter of 2019. Though that figure increased, data from the U.S. Census Bureau shows that Black Americans still have the lowest rate of homeownership compared to other racial groups, with White Americans having a homeownership rate of 76%, Hispanic Americans having a homeownership rate of 51.4% and Asian, Native Hawaiian and Pacific Islanders having a homeownership rate of 61.4%.

Though now illegal, redlining, the discriminatory practice of denying a creditworthy applicant a loan for housing in a certain neighborhood even though the applicant may otherwise be eligible for the loan, has played a significant role in the homeownership disparities between Black and white families across the United States.

The real estate industry is in a prime position to help address the racial wealth gap by advocating for the importance of Black homeownership.

“This is not a problem of the past, it’s there in front of us now,” said Donnell Williams, President of the National Association of Real Estate Brokers (NAREB). “We are moving the needle, but we can’t do this on our own, everybody’s got to be in this together.”

In September, NAREB hosted CEOs from leading real estate companies – including RE/MAX CEO Adam Contos – for a virtual discussion on Race & Real Estate. Contos spoke about the shift the industry needs to make in turning unconscious bias into a conscious focus and effort to do better.

“At RE/MAX we stand for justice and advocate for a cultural shift,” Contos said. “This is about us coming together as an industry to talk and demonstrate our intent to change past historical norms in the real estate and entrepreneurial spaces.”

Contos challenged call participants and the RE/MAX network of 130,000 agents across 110 countries and territories to follow NAREB’s social media accounts to “magnify the discussion.” Added Contos, “The greatest thing a leader can do is inspire change. We do that through our voices, our positions on issues – and that’s what we’re here for.”

Below, President Williams discusses available resources for brokers and agents interested in joining the national conversation as well as his hopes for the industry advancing fair housing opportunities for all.

Q: What resources do you recommend agents and brokers turn to for education about increasing Black American homeownership rates?

A: House Then the Car is a national campaign sponsored by NAREB that seeks to empower Gen Xers and Millennials to realize that homeownership is one of the fastest ways to build wealth. 1.7 million Millennials have purchasing power but have chosen not to purchase [real estate], and car loans are still a leading barrier to homeownership in the African American community. We encourage real estate leaders and companies to promote this campaign and the House Then the Car vision.

We need to change the conversation and rebalance the debt-to-income ratio. Having a really nice car but renting an apartment does not build wealth and that needs to be talked about more. House Then the Car provides easy access to budget and credit tools, pre-purchase counseling, a FICO® Score Estimator and information on available down payment resources.

Furthermore, the 2020 State of Housing in Black America report can be found here and I encourage industry professionals to review its findings on the challenges facing Black homeowners and homebuyers during the COVID-19 pandemic and learn about public policy initiatives that drive our mission forward.

Q: What response do you hope to see from the industry?

A: As you know, we hosted a Race & Real Estate Town Hall last month with CEOs from RE/MAX, Coldwell Banker, Berkshire Hathaway Home Services, Century 21, eXp Realty and others and I thought the meeting was phenomenal. One of my near-future goals is to get the homeownership rate for Black households up to 50%. Through continued conversations and educational opportunities with national brokerages and companies, we can teach agents about how many mortgage-ready Black consumers there are and how we can help them achieve the dream of homeownership.

Q: What’s next for you and the NAREB organization as a whole?

A: I’m going to continue to work to impact the lives of Black real estate professionals across the country. This organization has really given me a purpose-driven life and I believe the organization can beneficially impact more lives. We want to continue to change the way Black people approach real estate in America. We are laser-focused on being a leading voice in the national conversation on increasing the rate of Black homeownership.

To eliminate the racial gap in homeownership in the U.S. and promote democracy in housing, NAREB will continue to advocate for Black homeownership with public and private sector leaders at the local, state and federal levels and will educate Black consumers on the financial and other benefits of Black homeownership.

RE/MAX is dedicated to the mission to expand homeownership to everyone. RE/MAX agents, who put values into action, regularly hold local, state and national leadership positions in a variety of industry associations.

“RE/MAX has always been involved in spreading the message of sustainable homeownership,” says RE/MAX Senior Vice President Mike Reagan. “Real estate agents have a tremendous opportunity to help their clients achieve the American Dream, and with that opportunity, the responsibility to be an ally to all. We stand together for equality and kindness.”