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our first home

The Social Impact of MDI Mortgage Lending


Anthony Barr

Research and Impact Director at the National Bankers Association


Carl Romer

Former Research and Impact Manager

Christopher LeFlore

Co-founder of BankBlackUSA

Stephone Coward

Co-founder of BankBlackUSA

Director of Economic Justice at Hip Hop Caucus

Majority-minority neighborhoods served by lender type, 2019-2022

Majority-minority neighborhoods served by lender type, 2019-2022


In this report, we explore MDI mortgage lending from 2019-2022. Recent Federal Reserve data illustrates that homeownership was a key driver of wealth for U.S. households during this pandemic era, especially for minority households. Our analysis highlights the social impact of MDI mortgage lending, particularly as compared to lending from other types of financial institutions. In addition to statistical analysis, our paper also features insights from seven MDIs, gleaned from interviews with key personnel at these institutions. These interviews help provide an understanding of the MDI mortgage landscape, including the major challenges, needs, opportunities, and goals of the MDI sector.

Key Findings From Our Quantitative Analysis Include:

  • 65 MDIs issued mortgages in the 2019-2022 pandemic period, representing lending from nearly half (43%) of all MDIs.

  • Collectively, MDIs originated 164,000 mortgages, for a total of nearly $58billion in originations.

  • MDIs originated a higher share of mortgages to minority borrowers and to minority communities than did non-MDI lenders.

  • MDIs have lower denial rates but higher interest rates than other financial institutions.

  • Communities that received MDI mortgage lending face disproportionate climate risk relative to the overall nation.




Based on our findings, we establish several moonshot goals for expanding lending from the sector, including 1) the creation of a secondary market specifically for portfolio loans; 2) the development of a digital marketplace to facilitate loan purchases for CRA credit; 3) the creation of tools and strategies to augment staff constraints and build backend support; and 4) and the passage of

an Inflation Reduction Act size piece of legislation focused on creating equitable opportunity for MDIs in affordable housing.

Download The Social Impact of MDI Mortgage Lending Report

Published June 10, 2024

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The Early Bird Special ends on July 1, 2023.

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