What Is Redlining?

Redlining was the historical practice — now illegal — of denying mortgages or insurance to residents of certain neighborhoods, disproportionately minority areas, based on maps that literally outlined them in red.

Why It Matters

Though the practice itself was outlawed, its effects on generational wealth and neighborhood investment are still studied and referenced in fair lending discussions today.

Related Terms

← More Buying Terms · Glossary Home