Subprime targeting explains why high-income Black families claim larger mortgage deductions

Evidence

The prevalence of subprime mortgages could help explain why high-income black Americans have a larger mortgage interest deduction than their white peers. According to a recent Treasury analysis, “Average benefits for higher income Black and Hispanic families are slightly higher than for higher income White families (8th and 9th deciles).” — Dorothy A. Brown, Getting to Reparations, 1192

Categorization

• XREF: Ties to the mortgage-interest-deduction argument — the saturated tax-system harm where even a deduction is bigger for Black taxpayers because it signals predatory lending, not wealth.