Individuals are divided into distinct communities based on their socioeconomic and cultural circumstances. Residential segregation has been caused by multiple historical factors. This means that some minority communities live in poorer areas while others reside in better places (Mordechay and co., 2018). While the historical causes of residential segregation include housing discrimination, disinvestment which led to poverty, and disinvestment that caused infrastructure decay, the segregated communities have employed lobbying to increase the value of their suburban homes.
Histories like the Jim Crow Law made it possible for residential segregation. It was impossible to get finance to create desirable areas in America, so underprivileged communities such as blacks, LGBTQIA+, or Latinos were denied financial assistance. People of color and minorities were also denied financial help or grants through discriminatory practices like exclusive zoning. Discriminatory homeownership policies were also prevalent in the 20th century. Entities such as Homeowner’s Loan Corporation made maps which color-coded every race’s locations (Sanjek 2017, 2017). Federal government adopted the maps, which resulted in the distribution of resources more selectively to areas that were emerging. The discriminatory policy resulted in black areas remaining less developed, isolated, and lacking transportation and healthcare.
The main contributor to residential segregation in the United States is Gentrification. Gentrification can be described as the displacement of low income minority residents by people of high income. It culminates in the rehabilitation residential areas that are attractive to new investors and other commercial entities. Ravenhill (2014) states that gentrification encourages residential changes in low- and high-value areas. The displacement of members from low income, segregated communities by middle-classes led to gentrification, which resulted in homelessness and poverty.
Because the neighborhood was isolated, it became poorer because they were unable to access important social amenities such as schools and hospitals. The lack of resources meant that the suburban residents were deprived of quality healthcare and education. Because of the insufficiency or lack of essential resources, it is harder for these people to reach socioeconomic sustainability. Additionally, gentrification has increased income inequality across the country. Underprivileged people were forced to leave their homes to seek out less-desirable places. This posed a threat to their health and well-being. According to Sutton, Gentrification is a precursor to homelessness within segregated neighborhoods (2020).