Renters of color are paying more in security deposits and application fees than white applicants nationally, according to Zillow report.
A Zillow report explains total renters paid an average of $700 in security deposits in 2021. Yet renters of color paid $750, while white renters paid $600. White renters usually pay $50 in application fees, as Black Americans paid $65 and Hispanic Americans paid $80. Zillow states application fees are costly for renters of color due to submitting more applications when looking for a home.
Zillow decided to investigate price bias among renters so lawmakers could make revisions to housing practices.
A rise in inflation has drained COVID-19 economic relief funds. Wages failed to follow both rent and inflation growth. With rent increasing, the housing market is volatile.
As inflation is rising, Americans are seeing significant shortages of homes. Housing prices are increasing leading to great demand for homes. Due to supply chain problems, building new homes is taking longer than expected.
Investment companies are spreading to mobile-home parks. Trailer parks are facing an increase in rent due to mobile homes being known as the only affordable housing option.
