Surviving Involuntary Displacement: Homeowners vs. Renters Michael Moreno, University of Illinois at Chicago Dr. Joseph K. Hoereth, Institute for Policy and Civic Engagement, University of Illinois at Chicago Introduction Findings Recommendations Methodology Purpose Conclusions • In the late 1950s there was an increase in Hispanic presence within the community of Chicago. The city accounts for about 803,476 Hispanics who reside within the city alone (2016 American Community survey). • There is an ongoing trend of residential displacement within Hispanic dominated communities, in part due to urban revitalization initiatives that ignore minorities who live in the neighborhood. • Gentrification contributes to the displacement of inhabitants in major Hispanic dominated Chicago communities such as the Lower West Side (Pilsen), South Lawndale (Little Village), Humboldt Park, and Brighton Park. • Hispanic population in Chicago is high, but the number of Hispanics who own homes remain low in the neighborhoods mentioned; most of these inhabitants are renters. • As a result of Pilsen’s gentrification process, its Latino population has fallen from 89% in 2000 to roughly 82% in 2010, while the White population has increased by about 28% (Anderson 2012). Little village & Humboldt Park have shown similar cases. • Homeownership cannot guarantee that a Hispanic household owner would not be displaced, but it can certainly be an effective buffer in slowing the progression of any potential displacement. • The Correlation between homeownership rates and the displacement occurrences are further explored. • Gentrification does not have to mean displacement—If circumstances are aligned correctly. • In low-income neighborhoods where a significant percentage of residents own their homes, gentrification can be a life changing event for some families; leading to wealth-building that can dramatically improve their economic mobility. • Hispanic home buyers are more than twice as likely (42.8%) to have an FHA loan than a conventional financing loan—meaning Hispanics have to pay more in insurance premiums. • At 66.3%, Hispanics have a higher labor force participation rate than non-Hispanic Whites (60.8%) or the U.S. overall average (60.9%). • In 2018, Hispanics achieved a net gain of 362,000 homeowners. This raised the Hispanic Homeownership rate from 46.2% in 2017 to 47.1% in 2018. Over the past decade, Hispanics have accounted for 62.7% of net U.S. homeownership gains. • Change the narrative around immigration by underscoring the economic case for immigration reform and support policies that strengthen economic stability for Latino families. • Increase and mandate the amount of inclusionary zoning areas which require that 10% of new or renovated residential apartment buildings be maintained as affordable housing. • Provide renters with the opportunity & financing to purchase their units; Preserve & expand public housing. • Establish a loan fund to help small business owners buy their buildings. • Establish community benefit agreements with investors in large projects to ensure that local residents benefit from the investments. The research on the effects of gentrification in Chicago neighborhoods has been driven by scholarly articles, Lower West Side (Pilsen) studies, South Lawndale (Little Village) studies, and Humboldt Park studies in order to fully analyze such discourse and propose possible policy recommendations. Analyze the impacts of gentrification in Chicago Hispanic neighborhoods and encourages a closer look at the gentrification issue when creating community development and planning policies. References Anderson, M. B., & Sternberg, C. (2013). “Non-white” gentrification in Chicago’s Bronzeville and Pilsen: Racial economy and the intra urban contingency of urban redevelopment. Urban Affairs Review, 49(3), 435- 467.doi:10.1177/1078087412465590 Betancur, J. (2011). Gentrification and community fabric in Chicago. Urban Studies, 48 (2), 383-406. doi: