Redlining primarily affects __________ by limiting access to homeownership and thereby perpetuating racial wealth gaps.

Redlining primarily affects communities of color by limiting access to homeownership and thereby perpetuating racial wealth gaps. This practice, which started in the 1930s, involved banks and insurers marking areas predominantly inhabited by Black and other minority populations as high-risk, making it hard for residents to get loans or insurance. As a result, families in these areas were often unable to buy homes, which is a key way people build wealth over time. For example, if a Black family tried to buy a house in a redlined area, they would face higher interest rates or outright denial, while a white family in a nearby neighborhood could easily secure a loan. This lack of access to homeownership contributes to ongoing economic disparities, as home equity is a significant source of wealth in the United States.