Within the last century, African-American land ownership has rapidly declined. Comparing the U.S. Agriculture Census data on African-American farmland ownership for 1910 and 1997, it shows a drastic decline from its peak of 15 million acres in 1910 to 2.4 million acres in 1997. The current housing callaspe has adversely affected African Americans and other minorities disproportionately as well. What would African Americans wealth look like if they still held 15 million acres of land versus 2 million. That is a lot of wealth gone in the African American community and the most alarming fact is we are starting the 21st century with again, huge real estate losses and wealth for the African American family.
Let's look very close at what this dynamic of land loss means for the destruction of wealth for the African American community. In our capitalistic society land and home ownership have been the most significant ways in which a person or family grows over time in wealth. That's because real-estate and land almost always appreciates in value. Thus, making a person who started with a $2,000 piece of land in let's say 1960, now has a piece of property worth $50,000 today. This was a consistent trend up to the recent recession which began in 2007. Due to dubious deal making, greed and wretched financial manipulations the whole global real estate market was deeply affected and real estate prices at some places in America actually fell 50% or more and most will never reach the high prices in which people are carrying mortgages for.
However, there is a difference in real estate and land. Real Estate is land with a house on it and land is undeveloped. So a person who owned land still maintened a good portion of their wealth when the market collapsed because it had not been improved. Or if it had, it was not located in a market that rose sky high through a bubble then fell like wet socks on chicken. And they had far more options then the person who bought at the highs of the market and remains deep in debt for the foreseeable future.
One option is that they can decide to build a house of their liking over time and pay as they go so that they have a paid for house in a few years or months. Second, they can purchase a manufactured home many which are built very well and maintain their value over time. They can produce their own food through a variety of gardening practices including green houses and raise bed gardening. By the way the food will be healthier and safer than what is purchased at the supermarket. Third, they get the benefit of fresh air, healthy living, less stress and far more peace than the hectic rip roaring rat race that is typically associated with urban living. And lastly, you can leave an inheritance for your children and grandchildren. No homelessness for your family in an economic collapse like we are experiencing because if you own land, you have options. At bare minimum, you can pitch a tent without fear of being evicted because you own your own land.
My thought is that there is a trend taking shape in America and that is people are returning to the land. Some because job options in the big cities are gone, some because they want a slower pace of life, and some because they can shape and build their own little world on the land beneath their feet and not depend on some large scale real estate developer to build them a house for a ridiculously high price. Therefore, they get to keep more of that hard earned cash in their pockets.
So the next time you take a trip and ride through small town America, ikeep an open mind about owning some of that land for yourself. It's an option worth considering.
Peace!!
