There's a big "appraisal gap" between Black and White homeowners

The appraisal value of homes in predominantly Black and Latino neighborhoods is oftentimes much lower than that of houses in mostly White communities, according to a recent analysis from Freddie Mac.

The government-chartered mortgage giant's analysis includes more than 12 million home appraisals and pinpoints where in the U.S. those appraisals were completed. Researchers found that 12.5% of homes appraised in Black communities were valued at less than the original cost of constructing the home. That figure compares to 7.4% of homes in White neighborhoods and as 9.4% of homes in Latino areas, the analysis found. 

The differences suggest there's an "appraisal gap" among homeowners of color and it exists across the nation, Freddie Mac officials said. Michael Bradley, a senior vice president for Freddie Mac, said in a statement that the gap "could also mean families might miss out on the full wealth-building benefits of homeownership or may be unable to get the financing needed to achieve the American Dream in the first place."