Red Lining
Redlining in American History Redlining was a practice used in the United States during the twentieth century that limited where people could live, buy homes, or receive financial services. The term comes from maps created by government agencies and financial institutions that outlined neighborhoods using color codes. Areas marked in red were labeled as high risk, often based on the racial or ethnic makeup of the residents rather than the actual condition of the homes or community. This practice became widespread during the 1930s when the federal government created programs to support home ownership. While these programs helped many families purchase homes, they also reinforced segregation. Neighborhoods with large Black populations were frequently denied access to loans and investment, even when residents had stable incomes. As a result, families in these areas faced limited opportunities to build wealth through home ownership. Redlining affected more than housing. When neighborhoods ...